Skip to main content

Student Aid And Postsecondary Tax Preferences: Limited Research Exists on Effectiveness of Tools to Assist Students and Families through Title IV Student Aid and Tax Preferences

GAO-05-684 Published: Jul 29, 2005. Publicly Released: Aug 29, 2005.
Jump To:
Skip to Highlights


Federal assistance helps students and families pay for postsecondary education through several policy tools--grant and loan programs authorized by title IV of the Higher Education Act of 1965 and more recently enacted tax preferences. In fiscal year 2004, about $14 billion in grants and $56 billion in loans were made under title IV while estimated outlay equivalents for postsecondary tax preferences amounted to $10 billion. In light of the relative newness and financial significance of tax preferences, this report examines (1) how title IV assistance compares to that provided through the tax code, (2) the extent to which tax filers effectively use postsecondary tax preferences, and (3) what is known about the effectiveness of federal assistance.

Full Report

Office of Public Affairs


Aid for educationFederal aid programsFederal grantsFederal taxesHigher educationIncome taxesStudent financial aidStudent loansTax administrationTax credit