Puff, the Magic Dragon - Parodies. 1  In the mid 1970s an American Jewish band named Ruach created a parody version of the song entitled Puff the Kosher Dragon.
Pay tuition directly to the college. If you are considering making an outright cash gift, another option is to bypass your grandchild and pay the college directly. Under federal law, tuition payments made directly to a college aren't considered taxable gifts, no matter how large the payment.
While college fund accounts can offer tax benefits, the Internal Revenue Service only offers tax credits and deductions when your child uses money from such funds to pay for educational expenses. Certain college funds offer tax-deferred earnings and tax-free distributions when money is used to pay for college expenses. Each type of fund has its own drawbacks and advantages and IRS rules can change annually. State tax treatment of college funds can vary from state to state.