Education credits

[oceanlovin'ea]

Client and wife both took a notary signing online class to become notary signing agents.
Client in 2005 and wife in 2006.

The online course was about $250. I can use that for the lifetime learning credit, can't I?

Finished the return last night but this morning thought about the credit for the classes.

Getting a little punchy right about now. Too much to do before March 15th.

Linda F

[Chief]

Cont Ed credit

Linda, why can't you take that continuing educa credit. You are probably thinking about 2106 and the expenses to learn a new occupation. No for that, but yes for the continuing education credit.

[BP.]

notary signing online class . . . I can use that for the lifetime learning credit, can't I?

Linda, Lifetime Learning Credit requires enrollment at an "eligible educational institution." Is that qualification met?

[oceanlovin'ea]

New job

For the wife, it is a new job. For husband it was in 2005 so I am not so concerned with him. He is a mortgage broker so adding being a signing agent to his field of expertise might get by.

It is a course given by the National Notary Association. You can take it online, in a class or correspondence. Don't know if that is a qualified instituion.

I thought I was told one time that our CE credits can be used for the Lifetime Learning credit. Doesn't sound like it.

Linda F

[Brian EA]

No deduction

Do not take the credit.It is not a "qualified course".

brian

[Gretel]

Do not take the credit.It is not a "qualified course".

brian

I agree/disagree somewhat. What the course is about doesn't matter much, but if it is a qualified educational institution. Anything that improves your job skills will qualify, even if it is a course for painting to improve your creativity (much needed for practically every job).

[gkaiseril]

License

A Notary requires licensing by the state so the class for the test and first test are not decuctible because no matter how it improves one's job skills it is still a new occupation since a license is needed to provide the service.

[Brian EA]

I agree/disagree somewhat. What the course is about doesn't matter much, but if it is a qualified educational institution. Anything that improves your job skills will qualify, even if it is a course for painting to improve your creativity (much needed for practically every job).

It is not a qualified educational institution

brian

[newtotaxbooks]

I have first hand experience with the National Notary Association. Believe me, they are not qualified to be any kind of educational institution. Very similar to the IRS, call them with a question and at least 50% of the time they will be wrong.

[DTS]

Notary

Linda,

I have years that I have to pay for these classes and certifications. In those years, I put this income, not subject to SE, on a Sch C and write-off these expenses against this income.

I have never had a problem with this.

Dennis

[newtotaxbooks]

Linda,

I have years that I have to pay for these classes and certifications. In those years, I put this income, not subject to SE, on a Sch C and write-off these expenses against this income.

I have never had a problem with this.

Dennis

Only problem is the signing agent part(not the notarizations, which are exempt) is subject to SE. Don't see how you can deduct the education for a new line of work(signing agent), when the education is from a non-eligible source.

[DTS]

My post...

was really poorly written. I did not want to imply that ALL notary fees were exempt from SE tax. You are correct, they are not.

I will disagree with you regarding the notary signing seminar fees this client of Linda paid. I see this as a part of their notary business. It improves, enhances and provides addition services to their notary clients. I could be wrong, but I believe you can write this off.

If you or I go to a tax seminar to learn something new and how to improve our tax businesses, I assume we are going to write this seminar off as improving our business? I will.

I see no difference with their notary business. Like I said, I could be wrong.

Dennis

[newtotaxbooks]

I would agree about you or I writing off a tax seminar for our existing business. I believe though the original poster said their clients wanted to write off classes to learn how to become signing agents, not writing off a class to improve their signing skills.

[DonPriebe]

Original title was "Education Credits"

Education Credits are available for courses that improve your job performance or qualify you for a new job. The OP didn't want to "write them off", she wanted to get a tax credit for taking the course. And that requires that the course be given by a qualified educational institution.

Local example - the annual NATP seminar and the annual IRS seminar can both be "written off" as an expense on Schedule C by tax preparers. But only the IRS seminar qualifies for the Lifetime Learning credit because it is sponsored by the continuing education branch of Syracuse University. We get 1099-Ts for the one day course.

[DTS]

Notary

You may be correct. There is no mention of an existing notary business. What's that saying about "not assuming anything"?

I took this seminar some years ago as an enhancement of my existing notary business and just thought everyone was like me!

Dennis