Are CWI/CWE expenses tax deductible?

Date 02-01-2008 01:30

Can I deduct my expenses incured from taking the CWI/CWE exam on my taxes? They were not a requirement for my job at the time and I opted to pay myself instead of signing a two year contract for the company for them to pay. Good decision too because I got a new job 6 months later that required the CWI/CWE and paid a lot more money. Just curious though whether any of you have claimed these expenses on your taxes.

By 803056

Date 02-01-2008 02:14

I'm no tax specialist, but I thought the cost for the training and examination is deductible if it is a requirement for the job you held when you incurred the expenses. I don't believe they are deductible if it is in preparation for a new job.

Your best bet is to ask the IRS or a tax preparer. Do you do your own taxes or does someone do them for you? A tax preparer should know the correct answer.

Glad to hear you passed!

Best regards - Al

By thirdeye (***)

Date 02-01-2008 12:40

Here is a link that may help....

http://www.irs.gov/publications/p970/ch12.html

~thirdeye~

By OBEWAN

Date 02-01-2008 13:03

I think they are probably tax deductable under the 2% rule. That is what you need to look at. Even AWS membership could be deducted but the problem is that subscriptions to professional journals and society memberships and training classes to advance your career all must total at least 2% of your AG Income in order to even qualify for the deduction. I went to a lot of work once in an attempt to get it, and the IRS would up taking it away from me because they dropped my AGI for some reason. It is a real pain in the butt. It takes a whole lot of magazine subscriptions to get the deduction. If you are into internet stock trading for example, you could deduct a subscription to Money magazine as a research expense.

By awspartb (***)

Date 02-01-2008 21:07

My brother is a CPA and he said yes, under the 2% rule. Mileage, meals and hotel also.