Reg. § 1.127-1 Amounts received under a qualified educational assistance program.
(a) Exclusion from gross income The gross income of an employee does not include—
(1) Amounts paid to, or on behalf of the employee under a qualified educational assistance program described in , or
(2) The value of education provided to the employee under such a program.
(b) Disallowance of excluded amounts as credit or deduction Any amount excluded from the gross income of an employee under of this section shall not be allowed as a credit or deduction to such employee under any other provision of this part.
(c) Amounts received under a nonqualified program Any amount received under an educational assistance program that is not a “qualified program” described in will not be excluded from gross income under of this section. All or part of the amounts received under such a nonqualified program may, however, be excluded under section or deducted under section or section (as the case may be), if the requirements of such section are satisfied.
(d) Definitions For rules relating to the meaning of the terms “employee” and “employer”, see .
(e) Effective date This section is effective for taxable years of the employee beginning after December 31, 1978, and before January 1, 1984.
[T.D. 7898, 48 FR 31017, July 6, 1983]