Question

I am writing a reasearch paper for my Accounting for Not-For-Profit Organizations class about higher education at public colleges and universities. I wrote an abstract for my paper. Enclosed is an my abstract and will you check and see if I need corrections? I don't mind if you get assistance from a person with an expertise in writing.

Abstract

For high graduates, it should be an exciting time for them with plans to go to college but it can turn out to be nightmare for both the students and their parents. The correlation between public universities raising tuition fees and potential students of diverse backgrounds wanting to attend their schools is on account of the following: a) Often, the students and parents equate price with equality. The parents feel that if they can’t afford that much price, they might be less attractive to students. b) Parents and students feel higher the tuition fees, higher the earning opportunities in future when college is done. c) Demand for higher education has grown across the globe. Jobs offered today are demanding higher education degree as a recruitment requirement. d) Every country might not have higher education levels. Thus, students prefer to travel to those countries which have higher education levels and thus willing to pay for the increased tuition fees. e) Rise is tuition fees is on account of inflation, though major universities have increased the tuition fees, the net price which is tuition fees - scholarships and other grants has not increased in real dollar terms for public universities. Thus, the rate of students opting for such colleges is still high.

Keywords: higher education, public schools

Answer 1

I've written it here from tax point of view, since you are wriying paper for your accounting for Not-For-Profit Organizations class:

Higher education at public colleges and universities

The larger purpose of higher education, beyond preparation for employment is connecting students with real-world problems and getting them engaged in creative and collaborative problem-solving. People are spending millions to support their education, lets see here what is the impact of taxation on higher education at public colleges and universities:

The vast majority of private and public universities and colleges are tax-exempt entities as defined by Internal Revenue Code (IRC) Section 501(c)(3) because of their educational purposes as higher education is a public good and not done merely for the benefit of private, and so  states generally grant tax-exempt status to organizations, including universities and colleges, which qualify as tax-exempt entities under Federal law. There are certain tax exemption conditions applicable on the same:

• They are regulated by both the Federal government as well as State governments. These institutions must demonstrate their compliance with federal and state laws and regulations that govern tax-exempt entities through tax filings, audits, and public reports.
• Are required to submit IRS form 990 each year to avail the exemption. they are required to file information relating to revenues, expenditures etc that will be available to general public.
• IRS closely oversees their activities to ensure that the activities undertaken by them relates to the exemption purpose.
• They are required to pay unrelated business income tax (UBIT) and must pay tax on income from an activity, trade, or business that is not substantially related to their educational tax-exempt purposes.

In addition to the tax exemption provided to the colleges and universities, certain exemption are also provide to individuals

• Allowance of a deduction for the payment of certain student loan interest
• A deduction for education expenses generally is allowed under section 162, provided fulfillment of certain conditions.
• An individual is allowed an above-the-line deduction for qualified tuition and related expenses for higher education paid by the individual during the taxable year.
• Dependency exemption for students ages 19-23.
• Exclusion from gross income and wages for amounts received as a qualified scholarship by an individual who is a candidate for a degree at a qualifying educational organization.

The information provided in  https://www.jct.gov/publications.html?func=startdown&id=4474 is used for reference purpose.

Keywords: higher education, public schools