Hello and welcome to Just Answer my name is Bill.If you were employed as an Accountant
If you were employed as an accountant and these costs are incurred to improve your skills in your current job then they are deductible as employee business expenses.
Review course and testing fees are all miscellaneous employee business expenses subject to the 2% AGI limitation.
Actually I'm sorry review courses for the bar exam and CPA exam do not qualify for education expenses because they are expenses incurred that could qualify you for a new profession. See IRS Publicatio 970 chapter 12.
I will understand if you ask for 2nd opinion and don't accept my answer.
so even though I'm still doing basically same work pre/post CPA license I still can't deduct education CPA expenses? That includes both review course fees and testing fees? Total cost for me was appx $5,000.
It would appear as if these costs are not deductible because you are now able to qualify for a new profession.
Refer to publication 970 chapter 12, this is where the IRS says that these fees are not deductible.
If you are working for a CPA firm and the employer requires you to become a CPA to maintain your job then these fees would be deductible.
Hello again, I found the most solid answer in IRS Reg 1.162-5 which states that these expenses are not deductible no matter whether the employer requires you to become a CPA or whether you want to qualify for a new profession. I hope this has helped.