With the start of a new year also comes the start of tax season. As you go about collecting your documents and determining your deductions, consider how your new resume may fit in. Professional resume writing services may be tax deductible in certain situations. While you are encouraged to check with your tax preparer to see if you meet the criteria, here are a few things to keep in mind:
- Resume preparation and distribution may count
If you paid a professional resume writing company to prepare your resume, this could be eligible. You may also be able to deduct for the paper, ink, stamps, and other materials required to print and distribute your new resume to potential employers.
- You must be looking within your current occupation
One catch is that your job search must be within the same field you were previously working in. If you’re looking to transfer into a new occupation, it may not count, though having your resume professionally written could still be a worthwhile investment.
- Gaps in employment may be an issue
The guidelines are not entirely clear in this regard. The IRS notes that job search expenses are not deductible if “there was a substantial break between the ending of your last job and your looking for a new one.” There is nothing that defines what a “substantial break” is, so in this situation, checking with a tax preparer is necessary.
- Experience is important
Another disqualifier is if you are looking for your first job. The tax deduction is geared toward those who are already working in the field and are seeking a new job whether by choice or by necessity.
There are other areas related to your job search where you may be able to claim deductions as well. They include things like:
- Travel with the purpose of looking for or securing a new job (as opposed to for personal reasons).
- Employment agency fees to help you search for a new job.
It can be helpful to list all of these expenses as itemized deductions so that they are clearly defined. This can also help reduce risk of raising a red flag by claiming several hundred dollars in job search expenses.
A Beneficial Investment
Regardless of whether your resume qualifies as a tax deduction, a professionally written resume can be a worthwhile investment. You can rest assured that your resume meets current standards and expectations, presents you in a positive light, and enhances your chances of landing interviews. This in turn can support you in finding a job that you love.
It is easy to fall into the trap of making common mistakes on your resume that you may not even realize are an issue. This can make your job search even longer. Taking the time to pay for a professionally written resume can get you back on your feet again more quickly and give you more confidence as you search. Contact Chic Resumes at (803) 831-7444 or email@example.com to increase the impact of your resume and boost your job search. And as you prepare your taxes this season, check with your tax preparer about the possibility of including your resume as a tax deduction.
Amanda E. Clark founded Grammar Chic in 2008. She is a graduate of Eastern Michigan University and holds degrees in Journalism, Political Science, and English. She launched Grammar Chic after freelancing for several years while simultaneously leading marketing and advertising initiatives for several Fortune 500 companies.