Can you deduct the amount you spent on a REI Seminar Training ?

Can you deduct the amount you spent on a REI Seminar Training ?

Temple Hills, MD · Member since 2017 · 3 posts · 1 vote
Hey Good Afternoon Everyone, This question is primarily for the seasoned REI and or CPA Here's a little bit of my situation. In my search for buying a home at 26yrs old this year, I stumbled across an ad for a free REI seminar. If you know where this is going, I was basically sold by GURUS to spend a large sum of money to receive training in RE investing. In addition to the money I had saved and an awesome credit score, I applied for 3 Credit cards. Purchased a 26k package with the "Dave Seymour Gurus" and you know my credit score hurtfully fell below average.This has placed me in a bigger hole, not to mention I was recently laid off a month ago and still looking for a new job. During my free time I've read a few books, even the bigger pockets book by Brandon turner " No or Low Money Down..... Awesome book! If I would have known that BiggerPockets could have simply equipped me, I could have saved my money and my credit. While I'm dealing with a rough patch.... Can someone let me know if I can write off the total expense paid as an educational expense to start up my business? even if it through my credit cards?
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  • Natalie KolodijBusiness Member
    Moderator
    Tax Strategist| National Tax Educator| Accepting New Clients · Member since 2014 · 3k+ posts · 4k+ votes
    9y

    Hi Angela


    Unfortunately the answer is no. Education expense to start a new career is not deductible. There was actually just an  in depth thread on it that discussed tax cases as well and ultimately even when other expenses were allowed as "start up" - education to go into a new career field is disallowed. 

    Sorry :( 

    https://www.irs.gov/publications/p970/ch12.html

  • Temple Hills, MD · Member since 2017 · 3 posts · 1 vote
    9y
    Wow, really unfortunate Thank you Natalie
  • CPA, EA · North Providence, RI · Member since 2016 · 22 posts · 10 votes
    9y

    HI Angelle,

    Because the program you purchased gives you coaching, business building, real estate investing and property management education. I would use it as start up costs and claim 5,000 the first year on your business tax return and the remainder over 180 months.

  • Temple Hills, MD · Member since 2017 · 3 posts · 1 vote
    9y
    Jeffrey Bibby Good to know Thank you so much! I really appreciate this information
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