RESOLUTION ON COLLEGE TAX CREDITS

WHEREAS, the AFT does not favor tuition tax credits in any form; and,

WHEREAS, the AFT believes that the precedent created by a college tuition tax credit adds strength to the forces favoring tax credits in the K-1 2 sector; and

WHEREAS, the AFT has consistently supported the expansion of federal aid to families and students through student assistance programs that consider special need; and

WHEREAS, the AFT has backed the expansion of the Guaranteed Student Loan Program, Basic Economic Opportunity Grants, Supplementary Economic Opportunity Grants, State Student Incentive Grants and College Work Study Programs now supported by the Federal Government; and

WHEREAS, the AFT supports President Carter's proposal that student assistance such as that embodied in the Middle Income Student Assistance Act; and

WHEREAS, Tuition Tax Credit proposals considered by Congress this year will not benefit middle income families for a number of reasons:

• Tax credits create an incentive for institutions of higher education to simply raise tuition costs, thus consuming whatever benefits would initially exist for families and students.

• Setting up a tuition tax credit structure will make it impossible to expand existing student assistance programs given the astronomical costs involved in subsidizing both types of aid.

• Tuition tax credits will have little benefit for the disadvantaged when compared to President Carter's program.

RESOLVED, that the AFT affirms its opposition to all forms of tuition tax credit; and

RESOLVED, that AFT expresses its support for President Carter's program for expansion of existing student assistance programs.