Yes. The payment is considered a gift from your parents to you. So you can treat the moneys as if you paid it directly.
If you are a regular W-2 employee (as opposed to being self employed), your ability to deduct job expenses is limited. You are allowed to deduct your job expenses, subtracting what you were reimbursed (do not subtract your reimbursement if it was included on your W-2 as taxable income). TurboTax completes form 2106, which then carries to Misc itemized deductions on Schedule A. The problem with this is that you only get to deduct that portion of your misc deductions that exceed 2% of your AGI. and then only if your total itemized deductions exceed the standard deduction. (2% rule explained: https://ttlc.intuit.com/questions/2902781-what-is-the-2-rule)
In TurboTax, enter at:
Federal Taxes Tab
Deductions & Credits
-Scroll down to:
-Employment Expenses
-- Job related expenses
There's one other thing you need to be aware of; the cost of your initial license is usually NOT deductible. Any annoual renewals, to keep your license, is deductible. The rationale goes like this: the cost (education & licensing) to enter a NEW profession is not deductible. The cost to stay in your existing profession is.
Yes. The payment is considered a gift from your parents to you. So you can treat the moneys as if you paid it directly.
If you are a regular W-2 employee (as opposed to being self employed), your ability to deduct job expenses is limited. You are allowed to deduct your job expenses, subtracting what you were reimbursed (do not subtract your reimbursement if it was included on your W-2 as taxable income). TurboTax completes form 2106, which then carries to Misc itemized deductions on Schedule A. The problem with this is that you only get to deduct that portion of your misc deductions that exceed 2% of your AGI. and then only if your total itemized deductions exceed the standard deduction. (2% rule explained: https://ttlc.intuit.com/questions/2902781-what-is-the-2-rule)
In TurboTax, enter at:
Federal Taxes Tab
Deductions & Credits
-Scroll down to:
-Employment Expenses
-- Job related expenses
There's one other thing you need to be aware of; the cost of your initial license is usually NOT deductible. Any annoual renewals, to keep your license, is deductible. The rationale goes like this: the cost (education & licensing) to enter a NEW profession is not deductible. The cost to stay in your existing profession is.