As educators start the new school year, the IRS is reminding schoolteachers that the maximum deduction they can claim for classroom expenses remains at $300 for 2024. The maximum deduction is adjusted for inflation each year, but the $300 cap is unchanged from 2023.
The educational expense deduction allows educators to offset the cost of supplies, materials and other classroom essentials, providing some financial relief for those who spend their own money to improve their students’ learning experience.
Who qualifies for educator expense deductions?
This deduction is available for teachers, instructors, counselors, principals and aides who work at least 900 hours during a school year in a school providing students with an elementary or secondary education. Educators filing jointly can claim up to $600 if both spouses are eligible, but each individual spouse can claim no more than $300 in expenses. Educators can claim this deduction even if they take the standard deduction, and both public and private school educators qualify.
What’s deductible?
Educators can claim deductions for out-of-pocket expenses on classroom items like books, supplies, equipment (including computers and software) and COVID-19 safety measures such as masks, disinfectants and air purifiers. They may also deduct costs for professional development courses relevant to their teaching. However, educators could see a larger take benefit if they take advantage of other educational tax benefits like the lifetime learning credit for those courses (refer to Publication 970, Tax Benefits for Education, Chapter 3).
Expenses for homeschooling or nonathletic supplies for health or physical education are not eligible for the deduction. The IRS recommends educators maintain detailed records, such as receipts and canceled checks, to substantiate their deductions.
Rules apply to unfiled 2023 returns
For educators who are still in the process of completing their 2023 tax returns because they have been granted an extension related to a federally declared disaster or for other reasons, the rules for claiming deduction are the same for the 2023 and 2024 tax years. The IRS recommends that taxpayers submit their return before their extended date to help avert processing delays.
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Information included in this article is accurate as of the publish date. This post is not reflective of tax law changes or IRS guidance that may have occurred after the date of publishing. All taxpayer circumstances are different, and NATP recommends contacting research services if you have specific questions about your clients’ tax situations.