---
title: Business Education Tax Breaks
description: Business Education Tax Benefits
image: https://info.ongandcompany.com/hubfs/Education.jpg
---

[![](https://info.ongandcompany.com/hubfs/Backgrounds/ong-final_sig.jpg)](http://www.ongandcompany.com/)

# Business Education Tax Breaks

[Richard Ong](https://info.ongandcompany.com/blog/author/richard-ong) / June 26, 2018 /

[Tax Planning](https://info.ongandcompany.com/blog/topic/tax-planning), [Education Tax Benefits](https://info.ongandcompany.com/blog/topic/education-tax-benefits), [Tax Deductions](https://info.ongandcompany.com/blog/topic/tax-deductions)

![](https://app.hubspot.com/settings/avatar/89ca6f67445537c2c631f1fe9d43c977)

Maybe you feel the need to brush up on your skills in your particular line of work. One option is to take a refresher course at a local college this summer. What makes it even more enticing? You may be able to deduct the cost as a business expense.

**Make sure your class qualifies for a deduction**

If you're an employee or self-employed and rack up some business education expenses (like refresher classes), the cost will qualify as an ordinary and necessary business expense only if it passes one of these two tests:

1. The education is required by your employer or by law to keep your current job.

2. The education maintains or improves skills needed in your present work.

However, you can't deduct any of your expenses — even if you meet either one of the two tests stated above — if the class is needed to meet the minimum educational requirements of your current position or it qualifies you for a new trade or business.

The IRS takes a notoriously tough stance on what constitutes a "new trade or business," and the courts usually back it up. For instance, deductions have often been denied in the past for nurses who take courses that might lead toward a career as a physician. Although, if you're merely studying new developments in your chosen field, you should be OK.

**A new tax law snag**

Previously, unreimbursed employee business expenses, including costs of business education, could be deducted as miscellaneous expenses on your personal tax return. Under new tax laws, deductions for miscellaneous expenses are suspended from 2018 through 2025. That means no write-off is available this year.

Luckily, you may be able to arrange for reimbursements from your employer. Reimbursement payments are generally tax-free to recipients and deductible by the employer. If an employer uses a formal educational assistance plan, they can take advantage of a tax exclusion of $5,250 per employee.

[![Schedule Free Consultation](https://no-cache.hubspot.com/cta/default/2284926/3294d327-5b89-47f5-a693-919af26dcdf4.png)](https://cta-redirect.hubspot.com/cta/redirect/2284926/3294d327-5b89-47f5-a693-919af26dcdf4)

 

- [Tweet](https://twitter.com/share)

### Subscribe

### Recent Posts

### Topics

- [Business Taxes (2)](https://info.ongandcompany.com/blog/topic/business-taxes)
- [Client Spotlight (18)](https://info.ongandcompany.com/blog/topic/client-spotlight)
- [COVID-19 Relief (2)](https://info.ongandcompany.com/blog/topic/covid-19-relief)
- [Education Savings (5)](https://info.ongandcompany.com/blog/topic/education-savings)
- [Education Tax Benefits (10)](https://info.ongandcompany.com/blog/topic/education-tax-benefits)
- [Education Tax Credits (2)](https://info.ongandcompany.com/blog/topic/education-tax-credits)
- [Estate Planning (1)](https://info.ongandcompany.com/blog/topic/estate-planning)
- [Estate Tax (3)](https://info.ongandcompany.com/blog/topic/estate-tax)
- [Financial Statements (1)](https://info.ongandcompany.com/blog/topic/financial-statements)
- [Flexible Spending Accounts (2)](https://info.ongandcompany.com/blog/topic/flexible-spending-accounts)
- [Health Insurance (3)](https://info.ongandcompany.com/blog/topic/health-insurance)
- [Home Office Deductions (1)](https://info.ongandcompany.com/blog/topic/home-office-deductions)
- [Information Reports (3)](https://info.ongandcompany.com/blog/topic/information-reports)
- [Kansas Sales Tax (1)](https://info.ongandcompany.com/blog/topic/kansas-sales-tax)
- [Nonprofits (1)](https://info.ongandcompany.com/blog/topic/nonprofits)
- [One Big Beautiful Bill Act (1)](https://info.ongandcompany.com/blog/topic/one-big-beautiful-bill-act)
- [Partnership Rules (1)](https://info.ongandcompany.com/blog/topic/partnership-rules)
- [Payroll (6)](https://info.ongandcompany.com/blog/topic/payroll)
- [Real Estate (7)](https://info.ongandcompany.com/blog/topic/real-estate)
- [Retirement Savings (17)](https://info.ongandcompany.com/blog/topic/retirement-savings)
- [Self Employment (13)](https://info.ongandcompany.com/blog/topic/self-employment)
- [Starting a New Business (7)](https://info.ongandcompany.com/blog/topic/starting-a-new-business)
- [State PTET Updates (1)](https://info.ongandcompany.com/blog/topic/state-ptet-updates)
- [Tax Cuts and Jobs Act (1)](https://info.ongandcompany.com/blog/topic/tax-cuts-and-jobs-act)
- [Tax Debt (3)](https://info.ongandcompany.com/blog/topic/tax-debt)
- [Tax Deductions (82)](https://info.ongandcompany.com/blog/topic/tax-deductions)
- [Tax Fraud (5)](https://info.ongandcompany.com/blog/topic/tax-fraud)
- [Tax Planning (86)](https://info.ongandcompany.com/blog/topic/tax-planning)
- [Tax Representation (5)](https://info.ongandcompany.com/blog/topic/tax-representation)
- [The Corporate Transparency Act (1)](https://info.ongandcompany.com/blog/topic/the-corporate-transparency-act)
- [Unclaimed Property (1)](https://info.ongandcompany.com/blog/topic/unclaimed-property)

[See all](https://info.ongandcompany.com/blog/business-education-tax-breaks#)

### Archive

- [June 2026 (1)](https://info.ongandcompany.com/blog/archive/2026/06)
- [May 2026 (2)](https://info.ongandcompany.com/blog/archive/2026/05)
- [April 2026 (2)](https://info.ongandcompany.com/blog/archive/2026/04)
- [March 2026 (1)](https://info.ongandcompany.com/blog/archive/2026/03)
- [January 2026 (1)](https://info.ongandcompany.com/blog/archive/2026/01)
- [November 2025 (1)](https://info.ongandcompany.com/blog/archive/2025/11)
- [September 2025 (2)](https://info.ongandcompany.com/blog/archive/2025/09)
- [August 2025 (3)](https://info.ongandcompany.com/blog/archive/2025/08)
- [July 2025 (4)](https://info.ongandcompany.com/blog/archive/2025/07)
- [December 2024 (1)](https://info.ongandcompany.com/blog/archive/2024/12)
- [September 2024 (1)](https://info.ongandcompany.com/blog/archive/2024/09)
- [February 2024 (1)](https://info.ongandcompany.com/blog/archive/2024/02)
- [October 2023 (1)](https://info.ongandcompany.com/blog/archive/2023/10)
- [September 2023 (1)](https://info.ongandcompany.com/blog/archive/2023/09)
- [July 2023 (2)](https://info.ongandcompany.com/blog/archive/2023/07)
- [June 2023 (1)](https://info.ongandcompany.com/blog/archive/2023/06)
- [November 2022 (1)](https://info.ongandcompany.com/blog/archive/2022/11)
- [September 2022 (1)](https://info.ongandcompany.com/blog/archive/2022/09)
- [July 2022 (1)](https://info.ongandcompany.com/blog/archive/2022/07)
- [December 2021 (1)](https://info.ongandcompany.com/blog/archive/2021/12)
- [November 2021 (1)](https://info.ongandcompany.com/blog/archive/2021/11)
- [April 2021 (1)](https://info.ongandcompany.com/blog/archive/2021/04)
- [January 2021 (1)](https://info.ongandcompany.com/blog/archive/2021/01)
- [December 2020 (1)](https://info.ongandcompany.com/blog/archive/2020/12)
- [October 2020 (1)](https://info.ongandcompany.com/blog/archive/2020/10)
- [June 2020 (1)](https://info.ongandcompany.com/blog/archive/2020/06)
- [April 2020 (2)](https://info.ongandcompany.com/blog/archive/2020/04)
- [March 2020 (4)](https://info.ongandcompany.com/blog/archive/2020/03)
- [February 2020 (1)](https://info.ongandcompany.com/blog/archive/2020/02)
- [January 2020 (2)](https://info.ongandcompany.com/blog/archive/2020/01)
- [December 2019 (1)](https://info.ongandcompany.com/blog/archive/2019/12)
- [November 2019 (1)](https://info.ongandcompany.com/blog/archive/2019/11)
- [October 2019 (4)](https://info.ongandcompany.com/blog/archive/2019/10)
- [September 2019 (2)](https://info.ongandcompany.com/blog/archive/2019/09)
- [August 2019 (3)](https://info.ongandcompany.com/blog/archive/2019/08)
- [July 2019 (4)](https://info.ongandcompany.com/blog/archive/2019/07)
- [June 2019 (2)](https://info.ongandcompany.com/blog/archive/2019/06)
- [May 2019 (3)](https://info.ongandcompany.com/blog/archive/2019/05)
- [April 2019 (3)](https://info.ongandcompany.com/blog/archive/2019/04)
- [March 2019 (2)](https://info.ongandcompany.com/blog/archive/2019/03)
- [February 2019 (2)](https://info.ongandcompany.com/blog/archive/2019/02)
- [January 2019 (3)](https://info.ongandcompany.com/blog/archive/2019/01)
- [December 2018 (3)](https://info.ongandcompany.com/blog/archive/2018/12)
- [November 2018 (4)](https://info.ongandcompany.com/blog/archive/2018/11)
- [October 2018 (4)](https://info.ongandcompany.com/blog/archive/2018/10)
- [September 2018 (4)](https://info.ongandcompany.com/blog/archive/2018/09)
- [August 2018 (3)](https://info.ongandcompany.com/blog/archive/2018/08)
- [July 2018 (2)](https://info.ongandcompany.com/blog/archive/2018/07)
- [June 2018 (4)](https://info.ongandcompany.com/blog/archive/2018/06)
- [May 2018 (5)](https://info.ongandcompany.com/blog/archive/2018/05)
- [April 2018 (1)](https://info.ongandcompany.com/blog/archive/2018/04)
- [March 2018 (2)](https://info.ongandcompany.com/blog/archive/2018/03)
- [February 2018 (3)](https://info.ongandcompany.com/blog/archive/2018/02)
- [January 2018 (3)](https://info.ongandcompany.com/blog/archive/2018/01)
- [December 2017 (4)](https://info.ongandcompany.com/blog/archive/2017/12)
- [November 2017 (6)](https://info.ongandcompany.com/blog/archive/2017/11)
- [October 2017 (4)](https://info.ongandcompany.com/blog/archive/2017/10)
- [September 2017 (6)](https://info.ongandcompany.com/blog/archive/2017/09)
- [August 2017 (4)](https://info.ongandcompany.com/blog/archive/2017/08)
- [July 2017 (4)](https://info.ongandcompany.com/blog/archive/2017/07)
- [June 2017 (7)](https://info.ongandcompany.com/blog/archive/2017/06)
- [May 2017 (5)](https://info.ongandcompany.com/blog/archive/2017/05)
- [April 2017 (5)](https://info.ongandcompany.com/blog/archive/2017/04)
- [March 2017 (4)](https://info.ongandcompany.com/blog/archive/2017/03)
- [February 2017 (5)](https://info.ongandcompany.com/blog/archive/2017/02)
- [January 2017 (6)](https://info.ongandcompany.com/blog/archive/2017/01)
- [December 2016 (7)](https://info.ongandcompany.com/blog/archive/2016/12)
- [November 2016 (5)](https://info.ongandcompany.com/blog/archive/2016/11)
- [October 2016 (5)](https://info.ongandcompany.com/blog/archive/2016/10)
- [September 2016 (6)](https://info.ongandcompany.com/blog/archive/2016/09)
- [August 2016 (7)](https://info.ongandcompany.com/blog/archive/2016/08)
- [July 2016 (5)](https://info.ongandcompany.com/blog/archive/2016/07)
- [June 2016 (4)](https://info.ongandcompany.com/blog/archive/2016/06)

[See all](https://info.ongandcompany.com/blog/business-education-tax-breaks#)

 © Copyright 2016 | Ong & Company. All rights reserved.

**