Can I Deduct?
06-05-2012, 05:33 AM
#1
Gets Weekends Off
Thread Starter
Joined APC: Feb 2007
Position: Pawn
Posts: 1,138
Can I Deduct?
Having passed both commercial checkrides a few days ago it is my understanding that anything I do from now on is to further my career. That being said, I start CFI school in 20 days, and at $6,500 plus $2,000 for checkrides, I am hoping that I can write this off. Any advice? Some guys at ATP have said that they partially wrote off their flight training after the private level, but I am not sure that is quite legal.
06-11-2012, 09:40 AM
#2
Gets Weekends Off
Joined APC: Dec 2005
Posts: 1,412
Having passed both commercial checkrides a few days ago it is my understanding that anything I do from now on is to further my career. That being said, I start CFI school in 20 days, and at $6,500 plus $2,000 for checkrides, I am hoping that I can write this off. Any advice? Some guys at ATP have said that they partially wrote off their flight training after the private level, but I am not sure that is quite legal.
Never take tax advise off the internet. The short answer is no, you can't deduct the cost of your CFI.
06-11-2012, 12:56 PM
#3
Gets Weekends Off
Joined APC: Jan 2010
Posts: 327
Flight training can be deductible if there is a business purpose for incurring these expenses to advance your career.
As of yet, you don't have a career (as a flight instructor) to advance, so the CFI training would not be deductible. Once a CFI, you may be able to deduct add-on training (ie CFII and MEI).
Or.... maybe... become a ground instructor before starting your CFI training. Now, you are engaged in a career as ground instructor. You can advance your ground instructing career to include flight instructing, thus making the CFI training deductible
As of yet, you don't have a career (as a flight instructor) to advance, so the CFI training would not be deductible. Once a CFI, you may be able to deduct add-on training (ie CFII and MEI).
Or.... maybe... become a ground instructor before starting your CFI training. Now, you are engaged in a career as ground instructor. You can advance your ground instructing career to include flight instructing, thus making the CFI training deductible
08-03-2012, 12:36 AM
#4
New Hire
Joined APC: Aug 2012
Posts: 6
Can I deduct my type rating? Or my ATP rating?
Yes, but you need to position yourself very very carefully when you deduct this expense. Publication 529 from the IRS deals with miscellaneous expenses and specifically work-related education. Here’s the play by play- “You can deduct expenses you have for education, even if the education may lead to a degree, if the education meets at least ONE of the following two tests: (a) it maintains or improves skills required in your current present work, or (b) it is required by your employer or the law to keep your salary, status, or job, and the requirement serves a business purpose of your employer.”
Well, (b) is out. And (a) works if you believe obtaining a B737 type rating improves your current pilot skills. If you mention that a particular airline in Texas requires a B737 type for an interview, your deduction will be denied.
So the previous poster is correct in a sense- you can only deduct those expenses that improves skills in your current present work. In other words, you need to be employed as a pilot.
Thanks,
Jason
Watson CPA Group- Airline Pilot Taxes, Flight Attendant Tax Deductions, Flight Crew Tax, Pilot Tax Deductions
Yes, but you need to position yourself very very carefully when you deduct this expense. Publication 529 from the IRS deals with miscellaneous expenses and specifically work-related education. Here’s the play by play- “You can deduct expenses you have for education, even if the education may lead to a degree, if the education meets at least ONE of the following two tests: (a) it maintains or improves skills required in your current present work, or (b) it is required by your employer or the law to keep your salary, status, or job, and the requirement serves a business purpose of your employer.”
Well, (b) is out. And (a) works if you believe obtaining a B737 type rating improves your current pilot skills. If you mention that a particular airline in Texas requires a B737 type for an interview, your deduction will be denied.
So the previous poster is correct in a sense- you can only deduct those expenses that improves skills in your current present work. In other words, you need to be employed as a pilot.
Thanks,
Jason
Watson CPA Group- Airline Pilot Taxes, Flight Attendant Tax Deductions, Flight Crew Tax, Pilot Tax Deductions
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