Tax Deductions for Educators
Professional Fees and Dues:
Dues paid to professional societies related to your educational
profession are deductible. These could include professional
organizations, business leagues, trade associations, chambers of
commerce, boards of trade and civic organizations. However, dues paid
for memberships in clubs organized for business, pleasure, recreation or
other social purpose are not deductible. These could include country
clubs, golf and athletic clubs, airline clubs, hotel clubs and luncheon
clubs.
Deductions are allowed for payments made to a union as a condition
of initial or continued membership. Such payments include regular dues,
but not those that go toward defraying expenses of a personal nature.
The portion of union dues that goes into a strike fund is deductible,
however.
Continuing Education:
Educational expenses are deductible under either two conditions: (1)
your employer requires the education in order for you to keep your job
or rate of pay; or (2) the education maintains or improves your skills
in the education profession. The cost of courses that are taken to meet
the minimum requirements of a job or that qualify you for a new trade or
business are not deductible. NOTE: Education undertaken to qualify a
classroom teacher as a school administrator or guidance counselor
generally meets the criteria for educational expense deductions.
Communication Expenses:
The basic local telephone service costs of the first telephone line
provided in your residence are not deductible. However, toll calls from
that line are deductible if the calls are business related. The costs of
a second line (basic service and toll calls) in your home are also
deductible if that line is used exclusively for business.
Auto Travel:
Your auto expenses are based on the number of qualified business miles
you drive. Expenses for travel between business locations or daily
transportation expenses between your residence and temporary work
locations are deductible; include them as business miles. Expenses for
your trips between home and work each day or between home and one or
more regular places of work are COMMUTING expenses and are NOT
deductible.
Document business miles in a record book by the following: (1) give
the date and business purpose of each trip; (2) note the place to which
you traveled; (3) record the number of business miles; and (4) record
your car's odometer reading at both the beginning and end of the tax
year. Keep receipts for all car operating expenses - gas, oil, repairs,
insurance, etc. - and of any reimbursement you received for your
expenses.
Out-of-Town Travel:
Expenses accrued when traveling away from "home" overnight on
job-related and continuing education trips are deductible. Your "home"
is generally considered to be the entire city or general area where your
principal place of employment is located. Out-of-town expenses include
transportation, meals, lodging, tips and miscellaneous items like
laundry, valet, etc.
Document away-from-home expenses by noting the date, destination and
business purpose of your trip. Record business miles if you drove to
the out-of-town location. In addition, keep a detailed record of your
expenses- lodging, public transportation, meals, etc. Always list meals
and lodging separately in your records. Receipts must be retained for
each lodging expense. However, if any other business expense is less
than $75, a receipt is not necessary if you record all of the
information in a timely diary. You must keep track of the full amount of
meal and entertainment expenses even though only a portion of the
amount may be deductible.
Classroom Supplies:
Generally to be deductible, items must be ordinary and necessary to your
profession as an educator and not reimbursable by your employer. Record
separately from other supplies items costing more than $100 and having a
useful life of more than one year. These items must be recovered
differently on your tax return than other recurring, everyday business
expenses like photocopies or books.
Miscellaneous Expenses:
Expenses of looking for new employment in the same line of work in which
you are already working are deductible - you do not have to actually
obtain a new job in order to deduct the expenses. Out-of-town,
job-seeking expenses are deductible only if the primary purpose of the
trip is job seeking, not pursuing personal activities.
