Wisconsin Subtraction for Tuition Paid
Due to federal legislation enacted late in 2007 affecting the alternative minimum tax, taxpayers who claim the federal education credits (Hope or Lifetime Learning Credit) cannot electronically file their federal income tax returns under the Fed/State e-file program until February 11, 2008. To avoid this delay and receive at least a portion of their refund sooner, taxpayers who qualify for the education credits are considering filing their federal return without claiming the credit. The taxpayers will later amend their federal return to claim the credit and receive an additional refund.
The question has been asked as to whether taxpayers who e-file their federal return without claiming the federal education credits may also e-file their Wisconsin return and, if qualified, claim the Wisconsin subtraction for tuition paid. The answer is yes. The Wisconsin subtraction for tuition paid is allowable even though the federal education credits are not claimed. In this situation, the federal and Wisconsin returns may be filed together under the Fed/State e-file program.
An amended return does not have to be filed for Wisconsin when the taxpayer later files the amended federal return only to claim the education credits.
Last updated January 11, 2008