PA Board Exam Costs

[lb891]

Hi, Can I deduct the cost for a medical subspecialty board exam on my PA taxes? This exam is not reimbursed by my hospital, but is also not required to practice in my specialty (you can still practice without being "board certified").

[AamilD]

No. Since this exam is not required by your employer, the IRS will not allow you to claim this deduction. Additionally, with the tax law change in 2018, Job expenses are no longer deductible.

[lb891]

Thanks. Can I deduct license fees (e.g. DEA costs and license renewal fees) and subscriptions to professional organizations/dues if my employer does not cover?

[lb891]

Instead if that exam were required by my employer could it be deducted?

[AamilD]

No, it was allowed till 2018. However, after the tax law changed, you are not allowed even if it is required by your employer because in the past it was considered a miscellaneous itemized deduction but after the tax law change, that category is no longer available.

[lb891]

PA continues to have a miscellaneous category, do you know if that is true of PA law also? This is just for state taxes, not federal

[PattiF]

You can still deduct your unreimbursed employee expenses on the Pennsylvania state return. The expenses are entered in the federal return section and then transferred to the state return.

If you live in one of the states that still allow employee business expenses as a deduction, you would enter this in the federal return, and the information will be transferred to your state return.

Here's how to enter the information:

• Click on Federal Taxes (Personal using Home and Business)
• Click on Deductions and Credits
• Click on I'll choose what I work on (if shown)
• Scroll down to Employment Expenses
• On Job-Related Expenses, click on the start/update button
• Once in this section, you can enter union dues and any other employee expenses.

@lb891