Educator Expense Deduction Extended

If you or your spouse are a teacher, you probably know about the $250 deduction that is allowed on your income tax return.  While this is a very small tax break, every little bit helps. 

So, I was glad to see that Congress extended this deduction for two more years, until the end of 2007. 

If you’re not familiar with this tax deduction, here’s a brief summary:

Teachers can deduct up to $250 that they spend out of pocket to buy classroom supplies.  The deduction is an above the line deduction, which means you don’t have to itemize to take the deduction. 

The deduction is available to teachers, instructors, counselors, aides and other educators who work with classes from kindergarten through grade 12.

Costs that are deductible include books, supplies, computer equipment, software and other materials used in the classroom. 

To learn more, please visit:
http://www.bankrate.com/BRM/itax/tips/20030213a1.asp or
http://www.irs.gov/taxtopics/tc458.html