The ABCs of deducting educator expenses

NEW YORK — With the school year and back-to-school sales in full swing, teachers and other educators should save their receipts for purchases of books and classroom supplies. According to the IRS, these out-of-pocket expenses may benefit educators when they file their 2009 taxes in 2010. The educator expense deduction allows teachers and other educators to deduct the cost of books, supplies, equipment and software used in the classroom. Eligible educators include those who work at least 900 hours during a school year as a teacher, instructor, counselor, principal or aide in a public or private elementary or secondary school. Eligible educators may subtract up to $250 of qualified out-of-pocket expenses, whether or not they itemize their deductions on Schedule A. If married filing jointly and both taxpayers were eligible educators, the maximum deduction is $500. However, neither spouse can deduct more than $250 of their qualified expenses. For more information, visit www.IRS.gov and type “educator expenses” in the keyword search field.