GOOD NEWS FOR EDUCATORS

Submitted by Martha B. Matthews, Senior Tax Specialist, IRS

 

 

The deduction for Educator Expenses for teachers was extended for Federal tax returns for 2004 and 2005.  You can amend your 2004 Federal tax return if you failed to take it on your original return. 

 

If you are an eligible educator such as a kindergarten through grade 12 teacher, instructor, counselor, principal or aide in a school for at least 900 hours during a school year, you can deduct up to $250 of qualified expenses.  If you and your spouse are filing married filing jointly and both of you were eligible educators, the maximum deduction is $500. 

The qualified expenses could be for books, supplies, equipment (including computer equipment, software and services) and other materials used in a classroom.  For more information about this Educator Expenses deduction, go to www.irs.gov or call our toll free number at 1-800-829-1040.

 

If you want to learn more about the tax credits and deductions for higher education or continuing education costs, download Publication 970 from www.irs.gov or order it by calling 1-800-829-3676.