Educator Expenses Deduction Information

For 2007 federal income tax purposes, an eligible educator may deduct up to $250 of qualified expenses paid for books, supplies, equipment, and other materials used in the classroom.

This deduction for educator expenses does not apply for Wisconsin for 2007. The update of the Internal Revenue Code in the recently enacted budget bill (Act 20) did not adopt the provision of federal law (Public Law 109-432) that allows the deduction for educator expenses.

Educators who file their 2007 Wisconsin income tax return on Form 1 must also file Schedule I, Adjustments to Convert 2007 Federal Adjusted Gross Income and Itemized Deductions to the Amounts Allowable for Wisconsin. This is required to add the educator expense deduction to federal adjusted gross income. The federal adjusted gross income as determined on Schedule I is then entered on line 1 of Form 1.

Educators who file 2007 Wisconsin Form 1A will not have to make a separate adjustment on Schedule I. Form 1A does not include a line for deducting educator expenses.

Last updated November 8, 2007