### Question
How is the "qualified tuition reduction" defined?


### Answer
The term **qualified tuition reduction** is defined in *26 U.S.C. § 117* as follows -

> the amount of any reduction in tuition provided to an employee of an organization described in section 170(b)(1)(A)(ii) for the education (below the graduate level) at such organization (or another organization described in section 170(b)(1)(A)(ii)) of—



(A) such employee, or



(B) any person treated as an employee (or whose use is treated as an employee use) under the rules of section 132(h)

#### Citation:
  - *26 U.S.C. § 117*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter B-Computation of Taxable Income > PART III-ITEMS SPECIFICALLY EXCLUDED FROM GROSS INCOME**

