Peters addresses tax credit proposal
January 26, 2006
Faculty, staff and students spent some extra time catching up with one another before the University Council was called to order at 3:15 p.m. Wednesday. President John Peters spoke on the status of the provost search, the student tuition tax credit and the university budget.
Provost Search
“The provost search is moving along quite well,” Peters said.
The provost search committee will meet this week with Isaacson Miller search consultant Michael Baer, former senior vice president of the American Council on Education.
In about two weeks the committee will look at the files of provost applicants.
State Budget
The Illinois Board of Higher Education is submitting a request budget to the governor. President Peters hopes it will include an increase in general revenue. NIU hasn’t had an increase in four years.
Peters said top priority would be the renovation of the Stevens Building and possibly the addition of a new computational science building.
A capital bill hasn’t been passed in about three years. Peters hopes since it is an election year, one might be included.
“Right now it’s in the hands of the governor and the legislature,” Peters said.
Student Tuition Tax Credit
Peters also described the College Tuition Tax Credit. Gov. Rod Blagojevich has a college tuition tax credit that could give every family a $1,000 annual tax credit for every freshman or sophomore enrolled in qualified Illinois universities, based on tuition.
The tax credit could help families make college more affordable. The UC discussed problems found in the proposal. One was the definition of freshman and sophomore.
There was also concern faculty would be pressured to ease grading policies so students could maintain a B average.
Peters said all issues would eventually be worked out. The tax credit would start July 1 if passed.
Tax Credit Breakdown
Who is eligible’
Illinois residents attending public or private universities
Students in their freshman and sophomore years
Freshmen must have attained a B average in high school.
Sophomores must have attained a B average in their first year of college.
Students in certificate and graduate programs do not qualify.
How is it calculated’
Parents must claim each child listed as a dependent.
The credit will cover tuition and mandatory fees.
Families can claim a maximum of $1,000.
The credit is refundable.
How to apply’
Enroll in an Illinois college or university.
Apply for financial aid.
Indicate you want to be considered for the tax credit.
The school will monitor your grade point average.
Families claim the credit on their annual tax credit.