Flight Innovation students frequently ask whether they can take a tax deduction for the cost of their dispatch training.
IRS regulations tell us that educational expenses may be deducted if the education (1) maintains or improves skills required in your employment, trade, or business; or (2) meets the express requirements of your employer or the requirements of applicable law or regulations imposed as a condition for your retention of salary, status, or employment (IRC Regulation 1.162-5(a)). However, even if educational expenses meet either of these tests, they will still be nondeductible if they are incurred to meet the minimum educational requirements for your employment or if the education qualifies you for a new trade or business (IRC Regulation 1.162-5(b)2 and 3).
Unfortunately, even if you had no intention of becoming an aircraft dispatcher, these training expenses would not be deductible, since the training qualifies you for a new trade or business as a Flight Dispatcher.
You must now consider whether the dispatcher training you received was (1) necessary to meet the requirements of your employer (or of law or regulations) for keeping your salary, status, or employment; or (2) necessary to maintain or improve skills required in performing your current duties. In order for your expenses to be deductible, you must be able to respond “yes” to one of these questions.
Flight Innovation is not sending any IRS related forms for the purpose of TAX deductions other than an invoice as we are NOT a Title IV approved school. If in your opinion you are eligible to deduct your expenses, please keep your invoice and talk to your accountant.
Please do not call Flight Innovation with questions regarding IRS and TAX deductions.
I am attaching a flow chart below for reference only. This flow chart refers to both Aircraft Dispatcher Training and Pilot Training.