K–12 Education Subtraction

If in 2005 you purchased educational material or services for your qualifying childs K-12 education, you may be able to subtract your qualified expenses from your taxable income- regardless of your income.

Who Qualifies for the Subtraction?

To subtract your education expenses, the child must:

be your child, adopted child, stepchild, grandchild or foster child who lived with you in the United States for more than half of the year,
have been in grades K-12 during 2005, and
have attended a public, private or home school, and the school is located in Minnesota, Minnesota, Iowa, North Dakota, South Dakota or Wisconsin.

In addition to the above requirements, you must have purchased educational services or required materials during the year to help your childs K-12 education.

Education expenses that qualify for the credit also qualify for the subtraction. . However, the expenses that qualify only for the subtraction are tuition or instructor fees paid for classes taken during the normal school day or school year, such as private school tuition and tuition for college courses that are used to satisfy high school graduation requirements.

Limits to Expenses You May Subtract

The maximum amount you may subtract for purchases of personal computer hardware and educational software is $200 per family. You may split your qualifying computer expenses, up to $200, among your children any way you choose.

The maximum amount of education expenses you may subtract is $1,625 for each child in grades K through 6, and $2,500 for each child in grades 7 through 12.

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