Deduct Some Job Seeking Expenses
Benefits for Job Seekers
If you are searching for a new job, you may be able to deduct some of the expenses on your tax return.
The following will help you determine if you can deduct costs associated with your job search:
- The expenses must be spent on a job search in your current occupation. Expenses incurred while searching for a job in a new occupation are not deductible expenses. Deductible expenses also include the cost of preparing and mailing your resume to prospective employers.
- Employment and outplacement agency fees that are paid may be deducted as long as they are for a job in your current occupation. If you deduct these expenses and your employer reimburses you in a later year, you must then include the amount reimbursed as income.
- If you travel to a new area to look for a job in your current occupation, you may be able to deduct travel expenses as long as the trip was primarily to look for a new job.
You cannot deduct job search expenses if there is a substantial break between jobs, or if you are looking for a job for the first time.
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