Tax deductible training

Professional Mariner Forum
1

No expenses for upgrading licenses are deductible, right? Just those to maintain licensed.

2

Why wouldn’t they be?

3

General rule is that you can deduct education expenses for your job but, not those to get a new job. That’s why college isn’t tax deductible. So I assume classes to go from 3rd Mate/3AE to 2nd counted as getting a new job. But I might be completely wrong here, which is why I am asking.

4

In one year I paid out substantial bucks for flight training and deducted it. I was audited and interviewed by a young woman who had trouble comprehending the FAA training requirements to go from singles to twins. It took about 3 hours to walk her through it and explain that the expenses were made to advance my career. It wasn’t clear to me whether it was because my arguments had been persuasive or if it was because lunchtime was coming up and I was giving her a headache but she finally relented. I never thought to use deductions for CG upgrades but FWIW it worked for me at least once when I really needed it.

5

Yes that’s how I understand how it works. I’m surprised she allowed it. I thought you can deduct continuing education classes required for your job but not ones to advance your job to next level.

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6

A few possibilities exist. First: the IRS might have tweaked the rules, which they do from time to time. Second: the rules haven’t changed but the young lady who audited me was new to the job and wasn’t sure what the specific rule was. Third: she took pity on a young struggling flight instructor making $6 an hour Hobbs time and allowed herself to bend the rule.
What you say sounds right but I would definitely consult an expert.

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7

I think you caught a break.

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8

Or dazzled her with your brilliance!

9

Oh stop it you silly git… you’re making me blush…

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10

Sorry to interfere but just my opinion:

It’s bizarre that job training is tax deductible, but furthering training to hold a higher position (and higher pay) is not. You’d think it was logical for governments to help people get higher paying jobs, and more specialized, to be able to contribute with greater amounts in taxes.

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