Total Education Tax Credits and Deductions over Time

In 2015, students and parents saved about $17.7 billion on their federal income taxes through tax credits and deductions for education expenses. This form of subsidy was about $8.5 billion (in 2015 dollars) in 2005 and $18.6 billion in 2009.

Figure 22B: Total Education Tax Credits and Savings from Tuition Deductions in Billions of 2015 Dollars, 1999 to 2015, Selected Years

Figure 22B represents Total Education Tax Credits and Savings from Tuition Deductions in Billions of 2015 Dollars, 1999 to 2015, Selected Years. For a corresponding Section 508-compliant data table, download the Excel spreadsheet.

Notes & Sources 

NOTES: The total and average values of tax credits and deductions are best estimates based on data from the Internal Revenue Service. A portion of nonrefundable dollars claimed on nontaxable returns is excluded to account for credits and deductions that do not reduce tax liability. The value of tax deductions is estimated based on applicable marginal tax rates. Percentages may not sum to 100 because of rounding.
 
SOURCES: Internal Revenue Service, Statistics of Income 1999 to 2015, Tables 1, 1.3, 1.4, 2, 3.3; calculations by the authors.