We get a lot of questions regarding tax-deductions for continuing education, in particular around the time we place tickets on sale for the Summit. So this year, we asked our accountant, Joel K. Arline CPA, Managing Member of Arline & Wiggins, CPAs, LLC, to help us understand when and how to deduct the cost of continuing education.
If the cost of the continuing education maintains or improves skills you use on the job or that is required to maintain your job, it is deductible.
This is deductible only if they work for you or your company or have a business purpose for being on the trip (i.e., assisted with your presentation or took notes at classes you could not attend, etc.). You may want to compensate them for attending the trip to support their purpose for being at the conference. This a planning opportunity, please call us or your tax advisor.
If your employer reimburses you for your trip or conference, you cannot take the write-off. If you are not reimbursed or partially reimbursed, you may deduct these expenses (use Form 2106 to summarize your expenses) on your Form 1040, Schedule A.
You will deduct the total cost on your Form 1040, Schedule C.
Your business would deduct these costs on its tax return (Form 1065, 1120S, 1120). If you paid for any of these expenses personally, please have your company reimburse you.
More questions or need a CPA? Contact Joel at firstname.lastname@example.org.