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I am a teacher by day. I can tell you that the majority of us spend far more than 250.00 per year. Many of us have purchased equipment necessary to work from home during the pandemic and for that reason alone have spent more the 250.0. Needless to say, the limit on that deduction is a joke and really makes little difference in the refund or amount to pay. While I love my teaching job, it is a thankless job at the same time. I could go on and on about this but wouldn't do anyone any good.

I was a high school teacher for eight years. I did spend money out-of-pocket every year, probably under $500. I think the teachers whose returns I prepare are not really the most philanthropic. I know many teachers are, including my daughter-in-law. Did not mean to disparage the entire profession. Seems like I get a lot of pastors who really hate paying Caesar, too. Is it me??? A few that don't tithe. It always makes me want to ask them if they trust God or not. I will say I really regret rolling my teacher retirement monies into an IRA. That money is probably worth five times as much now, but TN Consolidated Retirement System till I die would have been so much better. Regrets, I've had a few...

This is one thing I wish the IRS would change. It seems very inconsistent that you can take money from 1 retirement account penalty free for a first home purchase and not from another. Rant over. Tom Modesto, CA

According to The Tax Book, IRA - Yes, 401K - No

Definitely unethical and illegal for a child/student to claim his own dependency, get EIP/RRC, etc., IF HE CAN BE CLAIMED BY ANOTHER. As you point out, a high earning child could be providing more than 50% of his own support, so it is possible, ethical, and legal IF YOU KNOW HE CANNOT BE CLAIMED BY ANOTHER. Have parents and child fill out a support worksheet with you, and keep it in your files to document the outcome. I have one coed angry with me, because "all her friends are doing it." But her parents are happy to keep the education and other credits, and they DO qualify to claim their daughter. Don't forget that the student can get the AOC WITHOUT CLAIMING HIS OWN DEPENDENCY if his parents do not claim him, even when qualified to claim him. He won't get the refundable part of the AOC, though. I have high-income parents who can't claim education benefits but have a college kid with a tax liability who can use the nonrefundable AOC. That is perfectly ethical and legal. We don't write the laws, but we do have to work within them.

I was thinking as I was donating that maybe I should increase my token amount. I had thought with 2,800+ members and 1,700+ online, that if we each paid a token that Eric would be good. But you're suggesting that only how many actually contribute financially to this board? Please let us know, because I have no problem with donating more, more often, more money.

Yes, I don’t know how I did it but I went to the one in Market Square a few hours after eating at Maggiano’s. I will travel for food.

250 is such a small amount to begin with that most teachers burn't that much in first 2-3 months. I have no problem with it. Your mileage may be different.

Isolate for 14 days, please.

Thanks everyone. Another case where if he had called first I would have had him take a loan instead. Client is not going to be happy!

A 401(k) withdrawal for purchase of taxpayer's residence is one of the items listed that can be considered a hardship withdrawal. Perhaps this is what the mortgage broker and client had in mind. See this page at IRS.gov for more information and that references the reg in the 3rd paragraph of question #2: (Reg. Section 1.401(k)-1(d)(3)(iii)) https://www.irs.gov/retirement-plans/retirement-plans-faqs-regarding-hardship-distributions and this page also: https://www.irs.gov/retirement-plans/hardship-distributions-from-401k-plans

I can't get into eServices, either. When they redid it years ago, they decided that my cell phone that I've had since the early 90s or earlier is NOT in my name. AT&T tells me it's in my name; my name is on the bill, also. IRS claims that AT&T told them it is NOT in my name. They will not snail mail me a code, because "there is something in your account that prevents..." I cannot use eServices, sign up for an IP PIN even though my SSN was used to file a federal income tax return a few years back (yes, I mailed in Form 14039), use MyAccount or GetMyPayment or any of the online services because of "something in your account..." They'll stop me from e-filing next.

Rita, I really like your insight on all the stuff we deal with

This board provides such a valuable service. Over the years I have learned so much and so many folks are so very generous with their time to answer questions and give counsel. Eric, thank you especially for helping make this forum so worthwhile. I wholeheartedly agree with the encouragement to support with a donation.

My question is: Is it ethical to not claim a child as a dependent so that they can get the stimulus in 2020, even though they were a full time student some part of five months of the year and under the age of 24? Perhaps a high school student, supported by parents, made $15,000 this past year because with virtual learning they could work more hours. The parents got the stimulus payment in 2019 for the child, but if he files and claims himself he would get the rebate recovery credit. Seems unethical to me because the parents could claim him and did provide over half of this support. Curious what others think. I have seen different opinions on another board.

I just filed one and it was accepted. I went thru the 'amend' procedure to create a new file. The Fed 1040X went thru. But my Ky amended was rejected. I think it is because Ky does not have a separate amended form (they used to have 740X). Now they just use their regular form and have a check box for amended and year of amendment. I think I need to call ATX and they can open it up for a 2nd return to go thru. Like I've done in the past with some of these partial 'final' year business or estate returns.

It is in fact sad news. I don't see the snow ball rolling.

Not surprising. I'm guessing a software update will be required. Please keep us posted. This could be a problem for more folks this year with the expanded IP PIN availability.

One professional development course can cost over $250, and all my teacher clients took courses in how to teach remotely.

No I wouldn't. Extra bandwidth and software maybe if they're not in the school building. Possi's excerpt states the items/services must be used "in the classroom." If they're teaching from home, I guess that's the classroom. For one of my business clients an auditor wanted to see the whole year of cell phone bills. There were four on there, but she allowed only the one for his two businesses, no percentage of the others. Internet was taken as a ratio for OIH expenses and that was okay. He was a Sch C though, not an A. I only mention this to show that auditors do pay attention to these items that have fuzzy personal/business lines. Has anyone actually seen a audit include educator expenses? My hunch is that the tax on $250 isn't worth an auditor's time, but still....

Fact & circuses. Love that, Gail. I had a teacher add another line on her cell service at an extra $14.95/month so she could keep her personal # personal. My hubby had to buy Zoom, because the free version cuts off after 40 minutes. My NY/CT-ATP group paid $39.95/month for ClassMarker testing/certificate software for our on-demand tax courses. One of my older teachers had one phone line at home that included her computer (old-fashioned, I know) and had to add internet for the first time. I see all kinds of extra expenses for teaching remotely, especially software for specific subjects or projects that has no personal purpose. And, yes, those expenses will go away eventually. I'm canceling ClassMarker today, because NY/CT-ATP decided to stop on-demand classes this month and resume live classes (we hope) in September. Facts & circuses. Ask questions.

"Facts and circuses, IMO" Love this phrase! And I agree about any upgrade expenses needed and not reimbursed by the school. I actually discuss this with some clients that always want to charge the entirety of their cell phones and internet. Would or did they have this same access/coverage before work? Would they downsize to less bandwidth or cheaper service (2gig vs unlimited) on the phone if the business disappeared?

Went there to watch Sammy Sosa try and break the home run record back when, (he struck out 4 times). That food stand had about a hundred lines and there were 20 to 30 people in each line. There were more people at that stand than in the stadium. A couple of people said it was worth the wait, but alas, I would wait!

Well, we can bump it up, now, Sister! COVID working from home, and don't even ask! Internet... BOOM... there ya GO....

Prices in TN seemed to be about 20-40% of what they are where I live, when I visited a few years ago. I got a $40 steak for $16 in TN! I would have paid more for that steak in a local butcher shop than I paid for it in a restaurant in TN. Now, admittedly, we weren't in the big cities of TN, but I don't live in a big city in MD, either.

Never had a teacher who spent less than $1,000/year on her classroom. And, you could take computer, continuing ed, etc. Now add PPE, too. Some teachers have two classrooms now, one at school and one on the wall behind/table in front of them at home. Just take the expenses you're most comfortable with up to $250. I can't imagine you'll have to stretch your comfort level.

I know, it was probably not a shining star of a question.

I wouldn't take them normally, either. But now with COVID and being forced to work from home, I'll take it. Thanks for chiming in!

Here's the excerpt from the IRS webpage: Qualified expenses are amounts you paid or incurred for participation in professional development courses, books, supplies, computer equipment (including related software and services), other equipment, and supplementary materials that you use in the classroom. For courses in health or physical education, the expenses for supplies must be for athletic supplies. Qualified expenses also include the amounts you paid or incurred after March 12, 2020, for personal protective equipment, disinfectant, and other supplies used for the prevention of the spread of coronavirus. I don't know that internet or cell phone expenses actually qualify (maybe they fall under computer equipment :-)) as a deduction normally but given the COVID situation and the relatively small amount of the , $250, I wouldn't be overly strict. Maybe I let my personal feelings influence my decision but that's my thoughts.

We went to PA to do some things for our daughter on New Years weekend. At that time, PA wanted you to have a 72 hour negative test report with you when you entered the state. Wondering how they would ever enforce this, we traveled anyway. No one stopped us at the border, (WV and PA rt 79). Naturally, Lowes Hardware was open but no restaurants; etc. Hotel never questioned anything. That is all I know.

Has your family that is attending/hosting quarantined? Have you? Are any or all of you vaccinated? Is your family the kind that WILL wear masks, stay six feet apart, wash hands, not shout or sing, etc.? Are you close enough to Pittsburgh that you won't have to use a public restroom on your way? Close enough that you don't have to stay overnight? Do you know and trust whoever is handling the food? Is the venue large enough that you can move every 15 minutes to mix and mingle and not hang around one person too long? Will the event/some of the event take place outdoors? If you're asking, you probably shouldn't go!! (I haven't visited my granddaughters in PA since last Christmas.) Stay safe.