Are continuing education courses tax deductible?
Continuing education courses are often tax deductible when they maintain or improve skills for your current work — but not all education qualifies.
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On this page: Short answer · Who this applies to · When it's deductible · When it's not deductible · Continuing education · CEUs · Certifications · Job-related expenses · Example · Records · Related · FAQ
Short answer
Depends. Education expenses may be tax deductible when they maintain or improve skills for your current job or business.
Education that qualifies you for a new trade, profession, or career is usually not deductible.
FreshBooks — Track education and professional development expenses
Categorize CEU fees, certification costs, and course expenses throughout the year so your Schedule C deductions are ready at tax time.
Who this typically applies to
- Self-employed individuals and business owners upgrading existing skills
- Professionals taking continuing education or required certifications
- People earning income where education directly relates to current work
Employees often face stricter limits on deducting unreimbursed education costs.
When education is tax deductible
- The education maintains or improves skills needed in your current work
- The course is required to keep a license or professional certification
- The education is directly related to your existing business or role
- You pay for the education yourself and are not reimbursed
When education is not tax deductible
- The education qualifies you for a new career or profession
- The education is personal or general-interest in nature
- The costs are reimbursed by an employer or another party
- The education is required to meet minimum job-entry requirements
Are continuing education courses tax deductible?
Often yes. Continuing education courses are generally tax deductible when they maintain or improve skills required in your current profession and don't qualify you for a new career.
Common continuing education scenarios
- Professional certifications: CPA continuing education, real estate license renewals, medical CE credits — usually deductible
- Industry-specific training: Software updates, regulatory compliance courses, technical skill refreshers — usually deductible
- Advanced degrees in current field: MBA while working in business, Master's in Education for a teacher — may be deductible if it enhances existing skills rather than qualifying you for a new profession
Does continuing education count for taxes? Yes — continuing education expenses count as a deductible business expense when they relate to your current profession. They are reported on Schedule C (self-employed) or as unreimbursed employee expenses where applicable under current rules.
Key test: Does the education maintain or improve skills for work you're already doing? If yes, it's likely deductible. Does it qualify you to enter a completely new profession? If yes, it's usually not deductible as a business expense.
Are CEUs (Continuing Education Units) tax deductible?
Generally yes. CEUs required to maintain a professional license or credential are deductible as ordinary and necessary business expenses when they relate to your current profession.
Professions where CEUs are commonly deductible
- Nurses and healthcare professionals — CEUs required for RN, LPN, or other license renewals
- CPAs and accountants — continuing education credits required by state boards
- Teachers and educators — professional development units required for recertification
- Social workers and counselors — CEUs required for LCSW, LPC, and similar license renewals
- Real estate agents — CE credits required for license renewal
- Financial advisors — CE requirements for CFP, CFA, and similar designations
CEU costs that are deductible include: course fees, registration costs, required materials, and travel to in-person CEU events. Report on Schedule C, Line 27a (other expenses) or include in education/professional development expenses.
CEUs required by your licensing body are among the safest education deductions — the mandatory nature makes the business-purpose requirement easy to satisfy.
Are professional certifications tax deductible?
It depends on whether the certification maintains existing skills or qualifies you for a new profession.
Certifications that are typically deductible
- Renewal of an existing certification in your current field (renewing your PMP, AWS re-certification, CompTIA renewal)
- Advanced certifications that deepen skills in your existing role (a developer adding a cloud certification)
- Industry-required credentials to maintain current standing (CISSP renewal, CPA CPE requirements)
Certifications that are typically not deductible as business expenses
- First-time certifications that qualify you for a new career you're not already in
- Entry-level credentials required to meet minimum job qualifications for a position you don't yet hold
- Certifications in an entirely different field unrelated to your current work
The key question: Are you already working in this field? A software developer getting an AWS certification is deepening existing skills — deductible. Someone with no tech background getting their first AWS cert to change careers — generally not deductible as a business expense.
What counts as job-related education expenses?
Job-related education expenses include costs directly tied to courses, training, or certifications that relate to your current work.
Deductible education expenses may include:
- Tuition and course fees
- Required books, supplies, and materials
- Lab fees or equipment required for the course
- Travel to and from classes (using standard mileage or actual expenses)
- Conference or seminar registration fees
Where to report education expenses on Schedule C
- Line 27a (Other expenses): The most common place for continuing education, CEUs, and certification costs — list "Education and training" as the description
- Line 18 (Office expenses): Sometimes used for small course fees or materials that overlap with office-type costs
- Line 24b (Business travel meals): Meals during out-of-town education travel — 50% deductible
Most tax software (TurboTax, H&R Block) categorizes continuing education under "Other Business Expenses" which maps to Line 27a automatically.
For self-employed individuals, these expenses go on Schedule C. Employees generally cannot deduct unreimbursed education expenses under current tax rules (the deduction was suspended for tax years 2018–2025 and its status beyond that depends on legislation).
FreshBooks — Track continuing education and business expenses
FreshBooks helps self-employed professionals and freelancers categorize education, certification, and training costs so deductions are ready at tax time.
Examples: Deductible vs not deductible
Likely deductible
- A freelance graphic designer pays $1,200 for an advanced design course that improves skills for current client work
- A CPA pays $400 for required continuing education credits to maintain their license
- A real estate agent attends a $300 sales training seminar related to their existing business
Usually not deductible as a business expense
- A graphic designer enrolls in law school to become a lawyer (qualifies for new profession)
- A retail worker completes a nursing degree to change careers (entry into new field)
- An employee takes general-interest courses unrelated to their job (personal education)
Education that qualifies you for a new trade or business is generally not deductible, even if you continue your current work while studying.
What records to keep
- Receipts or invoices for tuition, courses, or materials
- Course descriptions showing relevance to current work
- Proof of payment and completion (certificates, transcripts)
FAQ
Are continuing education expenses tax deductible?
Yes, continuing education expenses are often tax deductible when the courses maintain or improve skills for your current profession. Examples include CPA continuing education credits, medical CE courses, and professional certification renewals.
Is continuing education tax deductible for self-employed individuals?
Yes, self-employed individuals can typically deduct continuing education costs as business expenses on Schedule C when the education relates to their current business and doesn't qualify them for a new profession.
Is job-related education tax deductible?
Education may be deductible when it maintains or improves skills required for your current work and does not qualify you for a new profession.
Is college tuition tax deductible?
Tuition may be deductible or eligible for credits in some systems, but education that qualifies you for a new career is often not deductible as a business expense.
Can employees deduct education expenses?
In many cases, employees cannot deduct unreimbursed education expenses. Deductibility depends on current tax rules and employer reimbursement policies.
Does continuing education count for taxes?
Yes. Continuing education counts as a deductible business expense when it maintains or improves skills for your current profession. Self-employed individuals report these costs on Schedule C. The education must relate to your existing work, not qualify you for a new career.
Looking for other deductible expenses? See the full Expense Deductibility Guide.
Last reviewed: January 30, 2026