February 4, 2002

It's Tax Season Again!

Before filing your federal tax return this year, you may want to read the Internal Revenue Service's (IRS) latest edition of Tax Benefits for Higher Education (Publication 970) online at the IRS website. This document answers questions about the Coverdell Education Savings Accounts (ESAs) such as, "What is a Coverdell ESA?" and "How can I establish an ESA?"

In the same IRS booklet, you will also find updated information on "traditional" or Roth Individual Retirement Accounts (IRAs).

For the most recent information on ESAs in relation to private and home schools, read Home School Legal Defense Association's website article, "Some Home Schoolers Excluded from Education Savings Accounts."