Question

Which of the following is an *incorrect* statement regarding the higher education subtraction on the Oregon return?

a. You must be qualified for either the AOC or the LLC.
b. If you take the tuition and fees adjustment on your federal return, you cannot take the higher education subtraction on the Oregon return.
c. The subtraction on the Oregon return is limited to $4000.
d. Qualified expenses are tuition, fees, books, lab fees, room and board, and related expenses.

Answer 1

The incorrect statement regarding the higher education subtraction on the Oregon return is that qualified expenses include tuition, fees, books, lab fees, room and board, and related expenses.

Step-by-step explanation:

The incorrect statement regarding the higher education subtraction on the Oregon return is (d) Qualified expenses are tuition, fees, books, lab fees, room and board, and related expenses.

The correct statement is that qualified expenses for the higher education subtraction on the Oregon return are limited to tuition and fees. Room and board, books, lab fees, and related expenses are not eligible for the subtraction.

Therefore, option (d) is the incorrect statement.