"Harlan Lunsford" <lunstax[at]bellsouth.net> wrote:
- quote -

Don't laugh - I know several accountants that use
photography (and now digital photography) to document large
dollar fixed assets for their clients for financial
statement purposes. And I can guarantee you that every one
I've ever talked to about it has deducted the cost of the
camera.

Remember, the rule for deductibility was clarified in Welch
vs.. Helvering in 1933.

Gene E. Utterback, EA

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Harlan Lunsford wrote:

- quote -

Percentage of business use? As far as I know, there's
no "percentage of business use" allocation for education
expenses, as in the original poster's problem. Perhaps
there should be....

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

dbmonkey[at]elvis.com (Dave Buck) wrote:
- quote -

You have to be already in the trade or business to which
your education pertains. This means that you would have to
have been a "photographer in the money-making sense" for at
least a few months and preferably more than a year, not just
casually or as a hobby, and not just long enough to make one
sale.

So I see it that your proposed course of study is not
deductible for two reasons: as others have identified, it
prepares you for a new trade or business; but also, it does
not relate to a business in which you are already actively
engaged.

An alternative would be to enroll in photography classes at
the nearest community college. That way, you get the
benefits of a real instructor, networking opportunities with
others in the trade, and an adjustment to income for your
tuition and fees (but not books or supplies, unfortunately).

--
Chris Green

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

heljangal[at]aol.comnojunk (Helen P. OPlanick EA) wrote:
- quote -

At the moment I am not a photographer in the money-making
sense. The question is, what do I need to do to become one?
If I sell one photo the day before registering for the
course, am I instantly a photographer in the eyes of the
IRS, able to take all photography-related deductions?

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Arthur L. Rubin wrote:
- quote -

Although I don't consider myself a "professional"
photographer in the usual sense of the word, I can take
pretty good photos once in a while and sometimes use same to
decorate walls of my office. (If anyone wants an example to
use as "NON commerical" desktop wallpaper, let me know.)

And now I've gone digital with a Kodak digital camera
costing more than I thought I'd spend. Let's see now,
I'll put a few of my photos up on Ebay, or printed on glossy
on walls at office with price tags,..... maybe give away a
few to clients during the season,...... presto! camera
deductible.

Cheer$,
Harlan Lunsford, EA n LA

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

- quote -

Y`ou cannot deduct education that prepares you for a new line of work which it
sounds like this would. Yes, you do need to be "open for business" before being
able to deduct education exenses. What does that mean? Different things to
different people. If you were my client, I would tell you that you had to have
had some sales before deducting education costs and you definitely couldn't
retroactively take the $1,000 even if you sell something before the end of the
course.

Jan Zobel EA
--
Jan Zobel EA, author of 'Minding Her Own Business:
The Self-Employed Woman's Guide To Taxes and Recordkeeping'

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

"Dave Buck" <dbmonkey[at]elvis.com> wrote:

- quote -

You are in business when you are ready to go and seeking
business. Your expenses would be best served using the
educational tax benefits if they apply.

--
David M. Woods, EA, ChFC, CLU
Woods Financial Services
Norwood, MA 02062
www.woods-financial.com

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

Dave Buck wrote:
- quote -

You may need to allocate your cost over the years you
actually take the course -- I would definately have to
research both the law and your specific situation before I
could answer THAT.

- quote -

Approximately. If the education is required to meet the
minimum standards of the occupation, it's not deductible at
all. But that's not your problem.

- quote -

Probably.

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

- quote -

Are you a photographer now? And I mean with the shingle
out, not just taking pictures at family reunions (and it is
your family). If not, this is a new career and not
deductible.

Helen, EA in PA
50 miles, 3 days, 1 cause - Multiple Sclerosis Challenge Walk for the Cure
October 1 to October 3, 2004
Donate on-line at www.msandyou.org

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->

I am going to take a correspondence course in photography
with the intention of making money selling photos. The
question is: Is the cost of the course (about $1000)
deductible on Schedule C? The tuition will be paid up front.
The course will probably take a year or more to complete,
but I hope to be selling photos before the end of the course
and probably before the end of the year. I have read
(possibly outdated information) that education expenses are
deductible only after the sole proprietor is "open for
business". Is this true? What do I have to do to meet this
requirement? If I put a photo up for sale on eBay before I
pay the tuition and begin the course, am I considered "open
for business"? Do I actually have to sell something before
beginning the course to make the tuition deductible, or is
it sufficient to merely list it for sale?

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->