About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline

1 Roger S. Kuo, How the Federal Tax Codes Affects Young Americans 1 (2002)

handle is hein.taxfoundation/srbbhxz0001 and id is 1 raw text is: November 2002
No. 117

There are several milestones in the life of
a young person. Of these, four in particular
introduce young Americans to the U.S. tax
system: going to college, getting married,
purchasing a home, and having a first child.
This paper will discuss in detail a few current
tax policies with the most marked effects on
people at these points in their lives: education
tax credits, progressive income taxes, the mar-
riage penalty, deductibility of home-based capital
gains, and child tax credits.

Education Tax Credits
The first significant milestone for many young
American adults is going off to college. Roughly
43.7 percent of Americans between the ages of
18 and 21 were enrolled in college in 1999, the
most recent year for which data are available.'
Tuition is an important factor in a young per-
son's decision to go to college, and a college
education has become increasingly expensive
over the years. Even adjusted for inflation,

-4--

AN0O -

A-'

0000

I  I8I       I       I'I82-  '83-  '84-  '85-  '86-  '87-  '88-  '89-  '90-  '91 -  '  '94-  '95-  '96-  '97-  '98I-I   99- I'00-
'81-  '82-  '83-  '84-  '85-  '86-  '87-  '88-  '89-  '90-  '91-  '92-  '93-  '94-  '95-  '96-'997-  '98-  '99-  '00-
'82  '83  '84  '85  '86  '87  '88  '89  '90  '91  '92  '93  '94   '95  '96  '97  '98  '99  '00  '01

School Year
Source: National Center for Education Statistics, Department of Education.

Figure I
Average Tuition atAll Undergraduate Institutions
Constant 2000 Dollars
$6,000

$ 5,000

$ 4,000

0
0
11N
C%4
-
m
00
(1)
n,'

$ 3,000

$ 2,000

; ; ; ; immim imm;                                 ; ; ; ;                                                                                                                                                                              =      EMENIENIMIN

ooow

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Already a HeinOnline Subscriber?

profiles profiles most