Is This Tax Deductible?

Question

Hi There, Does anyone know if you can claim the cost of a professional development class on your taxes? I would like to take a Dale Carnegie course that is $1600+ - this is a lot of money for me, so I'd like to see if I can get any tax break off of paying for the course up front. Thanks!

Answer 1

I assume you are employed.  If you are self-employed or unemployed, no tax benefit is available to you.

This class is not eligible for the education credits (Hope or Lifetime) or the tuition and fees deduction.  This is because the course is not approved for federal financial aid, and the vendor is not a qualified degree-granting institution of higher education.

If you can establish that this expense enhances your current job skills, but does not qualify you for a different field of work, and is not required as a minimum qualification for your current job, then you could possibly get a benefit by taking a miscellaneous deduction on Schedule A.  Your deduction would be subject to 2% of your adjusted gross income.  

You would get no tax benefit unless you were able to take itemized deductions on Schedule A.