Question for the Money Doctors
Question submitted on Aug 3, 2020.
QuestionIf I bought a laptop computer with funds from my savings account for my son in college, and my CPA put that on my taxes (toward the education tax credit), can I also submit the receipt for the computer to my 529 college fund to reimburse myself for it?
Hi - If you reimbursed yourself for the cost of the computer from your 529 plan after also took it as a credit, then a portion of the that reimbursement would probably be taxable to you. Otherwise, you would have a tax "double dip." You can only apply the money spent on your computer on one type of tax benefit or the other - but not both. Good luck!
For additional information visit //www.360financialliteracy.org/