Form 8815 Exclusion of Interest From Series EE and I U.S. Savings

Form

8815

Department of the Treasury
Internal Revenue Service (99)
Name(s) shown on return

1

Exclusion of Interest From Series EE and I
U.S. Savings Bonds Issued After 1989

OMB No. 1545-0074

2009

(For Filers With Qualified Higher Education Expenses)
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Attachment
Sequence No. 167
Your social security number

Attach to Form 1040 or Form 1040A.

(a)
Name of person (you, your spouse, or your dependent) who
was enrolled at or attended an eligible educational institution

(b)
Name and address of eligible educational institution

If you need more space, attach a statement.
2
Enter the total qualified higher education expenses you paid in 2009 for the person(s) listed in
column (a) of line 1. See the instructions to find out which expenses qualify . . . . . . . .
3
Enter the total of any nontaxable educational benefits (such as nontaxable scholarship or
fellowship grants) received for 2009 for the person(s) listed in column (a) of line 1 (see instructions)
4
Subtract line 3 from line 2. If zero or less, stop. You cannot take the exclusion
. . . . . .
5
Enter the total proceeds (principal and interest) from all series EE and I U.S. savings bonds issued
after 1989 that you cashed during 2009 . . . . . . . . . . . . . . . . . . .
6
Enter the interest included on line 5 (see instructions) . . . . . . . . . . . . . . .
7
If line 4 is equal to or more than line 5, enter “1.000.” If line 4 is less than line 5, divide line 4 by line
5. Enter the result as a decimal (rounded to at least three places) . . . . . . . . . . .
8
Multiply line 6 by line 7 . . . . . . . . . . . . . . . . . . . . . . . . .
9

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12

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14

Enter your modified adjusted gross income (see instructions) .

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Multiply line 8 by line 12 . . . . . . . . . . . . . . . . . . . . . . . .
Excludable savings bond interest. Subtract line 13 from line 8. Enter the result here and on
Schedule B (Form 1040A or Form 1040), line 3 . . . . . . . . . . . . . . . .

Section references are to the Internal Revenue Code.

Purpose of Form
If you cashed series EE or I U.S. savings bonds in 2009 that were issued
after 1989, you may be able to exclude from your income part or all of
the interest on those bonds. Use this form to figure the amount of any
interest you may exclude.

Who Can Take the Exclusion
You can take the exclusion if all four of the following apply.
1. You cashed qualified U.S. savings bonds in 2009 that were issued
after 1989.
2. You paid qualified higher education expenses in 2009 for yourself,
your spouse, or your dependents.
3. Your filing status is any status except married filing separately.
4. Your modified AGI (adjusted gross income) is less than: $84,950 if
single or head of household; $134,900 if married filing jointly or
qualifying widow(er). See the instructions for line 9 to figure your
modified AGI.
For Paperwork Reduction Act Notice, see back of form.

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9

Note: If line 9 is $84,950 or more if single or head of household, or
$134,900 or more if married filing jointly or qualifying widow(er), stop.
You cannot take the exclusion.
Enter: $69,950 if single or head of household; $104,900 if married filing
10
jointly or qualifying widow(er) . . . . . . . . . . . . . .
Subtract line 10 from line 9. If zero or less, skip line 12, enter -0- on line
11
13, and go to line 14 . . . . . . . . . . . . . . . . .
Divide line 11 by: $15,000 if single or head of household; $30,000 if married filing jointly or
qualifying widow(er). Enter the result as a decimal (rounded to at least three places) . . . . .

General Instructions

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U.S. Savings Bonds That Qualify for Exclusion
To qualify for the exclusion, the bonds must be series EE or I U.S.
savings bonds issued after 1989 in your name, or, if you are married,
they may be issued in your name and your spouse’s name. Also, you
must have been age 24 or older before the bonds were issued. A bond
bought by a parent and issued in the name of his or her child under age
24 does not qualify for the exclusion by the parent or child.

Recordkeeping Requirements
Keep the following records to verify interest you exclude.
● Bills, receipts, canceled checks, or other documents showing you paid
qualified higher education expenses in 2009.
● A written record of each post-1989 series EE or I bond that you cash.
Your record must include the serial number, issue date, face value, and
total redemption proceeds (principal and interest) of each bond. You
can use Form 8818, Optional Form To Record Redemption of Series EE
and I U.S. Savings Bonds Issued After 1989, as your written record.

Cat. No. 10822S

Form 8815 (2009)

Page 2

Form 8815 (2009)

Specific Instructions

Line 9
Follow these steps before you fill in the Line 9 Worksheet below.

Line 1

Column (a). Enter the name of the person who was enrolled at or
attended an eligible educational institution or for whom you made
contributions to a Coverdell education savings account (Coverdell ESA)
or a qualified tuition program (QTP). This person must be you, your
spouse, or your dependent(s) claimed on line 6c of Form 1040 or Form
1040A. An eligible educational institution is generally any accredited
public, nonprofit, or private college, university, vocational school, or
other postsecondary institution. The institution must be eligible to
participate in the student aid programs administered by the Department
of Education. Virtually all accredited postsecondary institutions meet
this requirement.
Column (b). Enter the name and address of the institution. If the person
was enrolled at or attended more than one, list all of them. Also, if you
contributed to a Coverdell ESA for the person, enter “Coverdell ESA”
and the name and address of the financial institution where the account
is located. For contributions to a QTP, enter “QTP” and the name and
address of the program.

Step

Action

1

If you received social security benefits, use Pub. 915 to figure the
taxable amount of your benefits.

2

If you made contributions to a traditional IRA for 2009 and you
were covered by a retirement plan at work or through selfemployment, use Pub. 590 to figure your IRA deduction.

3

If you file Form 1040, figure any amount to be entered on the
dotted line next to line 36.

4

Complete the following lines on your return if they apply.
IF you file Form...

THEN complete lines...

1040

8b, 9a–21, 23*–32

1040A

8b, 9a–14b, 16*, and 17

Line 2
Qualified higher education expenses include tuition and fees required for
the enrollment or attendance of the person(s) listed on line 1, column (a),
at the institution(s) listed in column (b). They also include contributions
to a Coverdell ESA or a QTP for the person(s) listed on line 1. Qualified
expenses do not include expenses for:
● Room and board or
● Courses involving sports, games, or hobbies that are not part of a
degree or certificate granting program.
Do not include on line 2 expenses that were:
● Covered by nontaxable educational benefits paid directly to, or by, the
educational institution,
● Used to figure an education credit on Form 8863, or
● Used to figure the nontaxable amount of a distribution from a
Coverdell ESA or QTP.

5

If any of the following apply, see Pub. 550:
● You are filing Form 2555 or 2555-EZ (relating to foreign earned
income), or Form 4563 (exclusion of income for residents of
American Samoa),
● You have employer-provided adoption benefits for 2009,
● You are excluding income from Puerto Rico, or
● You have investment interest expense attributable to royalty
income.

*For purposes of figuring the amount to report on Form 8815, line 9, do
not reduce your educator expenses, if any, by the amount on Form
8815, line 14.

Line 3
Enter on this line the total qualified higher education expenses included
on line 2 that were covered by nontaxable educational benefits. These
benefits include:
● Scholarship or fellowship grants excludable from income under
section 117.
● Veterans’ educational assistance benefits.
● Employer-provided educational assistance benefits that are not
included in box 1 of your Form(s) W-2.
● Payments, waivers, or reimbursements of educational expenses under
a QTP.
● Any other payments (but not gifts, bequests, or inheritances) for
educational expenses that are exempt from income tax by any U.S. law.
Do not include on line 3 nontaxable educational benefits paid directly
to, or by, the educational institution.
Example. You paid $10,000 of qualified higher education expenses
in 2009 to the college your son attended. None of the expenses are
used to figure an education credit or the nontaxable amount of a
Coverdell ESA or QTP. You claim your son as a dependent on line 6c of
your 2009 tax return. Your son received a $2,000 nontaxable
scholarship grant for 2009, which was paid directly to him. In this case,
enter $10,000 on line 2 and $2,000 on line 3.

Line 6
If you reported any of the interest before 2009, see Pub. 550 for the
amount to enter. Otherwise, enter the amount from Form 8818, line 8 (if
you used that form to record the bonds cashed), or use the worksheet
below to figure the amount to enter.

Line 6 Worksheet (keep a copy for your records)
1.

1.

Enter the amount from Form 8815, line 5 .

2.

Enter the face value of all post-1989 paper series EE
bonds cashed in 2009
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3.
4.

Multiply line 2 by 50% (.50) . . . . . . .
Enter the face value of all electronic series EE bonds
(including post-1989 series EE bonds converted from paper
to electronic format) and all series I bonds cashed in 2009 .

3.

5.

Add lines 3 and 4 .

5.

6.

Subtract line 5 from line 1. Enter the result here and
on Form 8815, line 6 . . . . . . . . .

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Line 9 Worksheet (keep a copy for your records)
1.

Enter the amount from line 2 of Schedule B (Form
1040A or Form 1040)
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1.

2.

Form 1040 filers, add the amounts on lines 7, 9a, 10
through 14, 15b, 16b, 17 through 19, 20b, and 21.
Enter the total. Form 1040A filers, add the amounts
on lines 7, 9a, 10, 11b, 12b, 13, and 14b. Enter the
total . . . . . . . . . . . . .

2.

3.

Add lines 1 and 2

3.

4.

Form 1040 filers, enter the total of the amounts from
lines 23 through 32, plus any amount entered on the
dotted line next to line 36. Form 1040A filers, enter
the amount from lines 16 and 17
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4.

Subtract line 4 from line 3. Enter the result here and on
Form 8815, line 9 . . . . . . . . .

5.

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Paperwork Reduction Act Notice. We ask for the information on this
form to carry out the Internal Revenue laws of the United States. You
are required to give us the information. We need it to ensure that you are
complying with these laws and to allow us to figure and collect the right
amount of tax.
You are not required to provide the information requested on a form
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returns and return information are confidential, as required by section
6103.
The average time and expenses required to complete and file this
form will vary depending on individual circumstances. For the estimated
averages, see the instructions for your income tax return.
If you have suggestions for making this form simpler, we would be
happy to hear from you. See the instructions for your income tax return.