147: Very good question. I believe a good case could be made that the tuition for the period where no instruction was provided could be treated as a donation to a charitable entity. However, I think there will probably have to be some IRS ruling confirming that view. For example, the mosdos may have to go through the motions of “offering refunds, albeit over an extended period of time” or allowing parents to forego their rights to a refund and consent to the treatment of the relevant amounts as “donations” to the school.
Do we have a tax lawyer here to comment?
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