The Education Savings Bond Program allows individuals to exclude interest income from certain U.S. government bonds, issued after 1989, from their taxable income when using the funds to pay for qualified higher education expenses. These bonds include Series EE and Series I Bonds.
A Series EE Bond is a type of U.S. government savings bond that earns a fixed interest rate for up to 30 years and is guaranteed to double in value if held for 20 years.
