Tax Deductions - Interviews, tests, etc...

Anyone have any information on what types of expenses are tax deductable for residency interviews, board tests, and supplies? My wife has done a lot of travel and taken those nice boards, all the while accumlating a hefty bill. I was wondering if any of it is tax deductable and how I would go about claiming it.

Thanks!

We deducted board exam fees, residency search expenses (application, air, hotel, car rental), subscriptions for journals.....that's all I can think of right now. Pay attention to the year in which you incurred the expense. My husband's were split over two years which, unfortunately, ended up limiting the mileage we got out of the deduction. Because....There is some limit to what you can deduct -- the expenses have to exceed a certain percent of that person's salary. I'll bet you could find the percent of income info on smartmoney.com or kiplinger.com.

Disclaimer -- that's what we did but don't take my word for it, ask an accountant.

I'm just starting to do my taxes now and saw the percent limitation, however with some other stuff I've read, maybe the expenses can be put in a different category like job-search expenses instead of education expenses.

I'll be asking an accountant. Thanks!

[DCJenn]

If by chance she's HPSP, all of the uniforms and PT clothing is also deductible. (Running shoes, shorts, etc.)

Also, if she's purchased any of her own equipment- stethescope, otoscope, etc. these can also be deducted (well actually depreciated every year)

Jenn

[houseelf]

Here is what we have deducted in the past:

Deduct clogs, loops (?), stethoscopes, parking, interviewing expenses, journals, lab coats (if you have to buy them), exam fees, some laundry detergent (if you wash your own scrubs), software/disks, and any postage or application fees.

Kelly

Wow -
What tax section did you do that in?

[DCJenn]

Oh and mileage if she has to drive between one place of work and another- like between one hospital and another (and you have a way to back that up- like it's in a contract or you have parking documentation)

Jenn

Ugh, is it really tax time again?

I am doing Turbo Tax this year again and after the first go-around we actually owe money!!!! ACK!
Then I realized there are all these deductions for medical residents that I never knew existed!! I am not finished yet but I am going through every penny DH has spent for work including mileage to and from other hospitals,
loops (thanks for that one, Kelly! I was SO mad that we actually had to pay for these things that the department required!) and computer software.
Now we are getting back some dinero! What a BIG difference! From now on, I will watch these expenses like a hawk!
http://www.mdtaxes.com is quite useful

[twinsmom]

I figured out this little insight when we first moved accross the country to start med school and realized that we could deduct the expenses due to my work. Since then, every year when we pay for ANYTHING related to school or work, I mark it in a separate category (thanks to quicken!!) and at the end of the year, I just go through and make a list of each of the expenses to give to the accountant.

On another note, for the stay-home spouse, if you do any type of work from the home (I did some consulting for a while, and also sold some scrapbooking stuff, etc), then you can even deduct a certain portion of your mortgage, utilities, milage on your car, etc. It has helped us out a TON.

Also, if you are a resident (i.e. making next to NOTHING!!), and have any kids, you could also qualify for earned income credits and child credits. There are basically a ton of different avenues to get taxes back if you are in the semi-poor category .

With all of our wierd quirks this past year related to school/work/moving/consulting/etc, I just took all of our stuff into an accountant and let him deal with the headache... which was worth it because he found us about $5,000 in refunds!!!

Good luck with the tax quest!!!

Jen B.

[SueC]

Working at home, I deduct all kinds of things. I even deduct my costco membership, since I buy office supplies there. Another thing we deduct for dh, that I'm not sure was mentioned was his cell phone, since he sort of needs it when he is on call.

my favorite (a la our accountant) is deducting the COST of having lab coats laundered.

Books, exams, interview expenses, equipment - all of it. We have a fantastic accountant so I can't answer as to what section you enter it in b/c he fills it out. Remember the disclaimer, though .... it's what we did, but check it out for yourself. Good luck!