TAX COURT OPINION

Case: Cindy K. Yee-Lin
Docket Number: 6595-06
Judge: Colvin
Opinion Type: bench
Filed: 05/23/2008
Pages: 5

UNITED STATES TAX COURT WASHINGTON, DC 202 0 RECORDED Docket No . 6595-06 . CINDY K . YEE-LIN , Petitione r V . COMMISSIONER OF INTERNAL REVENUE , Respondent O R D E R Pursuant to Rule 152(b), Tax Court Rules of Practice an d Procedure, it i s ORDERED that the Clerk of the Court to petitioner and to respondent a copy of transcript of the trial of the above cas Halpern at Boston, Massachusetts on Apri his oral findings of fact and opinion re of trial . shall transmit herewith f the pages of the before Judge James S . 28, 2008, containing dered at the conclusio n In accordance with the oral finding decision will be entered for petitioner . of fact and opinion , (Signed ) James S . Halpern Judge Dated : Washington, D .C . May 23, 2008 SERVED MAY 2 3 2008 ORIGINAL 3 1 Bench Opinion by Judge James ~ . Halpern April 30, 2008 2 Cindy K . Yee v . Commissioner Docket No . 6595-0 6 3 THE COURT : The Cou t has decided to rende r 4 oral findings of fact and opinion in this case and the 5 following represents the Cour 's oral findings of fact 6 and opinion . The oral findin s of fact and opinio n 7 shall not be relied upon as p ecedent in any other 8 case . 9 This bench opinion is made pursuant to the 10 authorit y g ranted b ~ Section ~ y of the Interna l 11 Revenue Code of 1986,~as amended, and Rule 152 of the St 12 Tax Court Rules of Practice and Procedure . 13 Unless otherwise i n Cd icated, all section 14 references are to the Intern a Revenue Code of 198Fka s f, 15 amended and all rule referenc s are to the Tax Court 11 E 16 Rules of Practice and Procedu e . 17 Certain facts have een stipulated . The 18 stipulation of facts filed by the parties, with 19 attached exhibits, is incorpo ated herein by thi s 20 reference . 2 1 22 At the time she filed the petition, Petitioner resided in Boston, Massachusetts . 23 By notice of deficiency dated March 13 , 24 2006, Respondent determined a deficiency i n 25 Petitioner's 2001 federal income tax liability of -TS CC Heritage Reporting Corporation (202) 628-4888 4 1 $24 . 2 The question before s is whether Petitioner 3 can deduct the cost of certain educational course s 4 that she took and paid for in 001 . We conclude tha t 5 she can . 6 A taxpayer may deduc t all ordinary and 7 necessary expenses paid or inq urred during the taxabl e 8 year in carrying on a trade or business , 9 Educational expenses, specifically, are 10 deductible if the education maintains or improves 11 skills required by the individual in his or he r 12 employment or other trade or 1 usiness or meets the 13 express requirements of the i dividual' s employer . Stc t . l bz~tp~ ► )~d► Ca~ 14 145ti --~ Income Tax Regs . 15 No deduction is all wed, however, if the 16 taxpayer's expense is for edu ation that enables him 17 or her to meet the minimum ed cational requirements 18 for qualification in his or h r employment or if th e 19 education leads to qualifying a taxpayer for a ne w 20 trade or business, ^ In come Tax t.lbz- Cb)(~C3,~ 21 Regs . 22 During 2001, Petiti oner was employed as an 23 administrative assistant at he Boston Universit y 24 Department of dermatology . hen hired for tha t 25 position, Petitioner had already met the minimu m Heritage Reportirpg Corporation (202) 62 -4888 5 1 educational requirements fo r he position . 2 In 2007, Petitione r started a new job a t 3 Boston University . The job t tie was training program 4 manager . 5 5 Petitioner argues , nd we find, that the new 6 position was a promotion, inv lying duties that were 7 not the same but were simila r to the duties she 8 performed as an administrati v assistant . 9 Petitioner's course work neit er qualified her for a 10 new trade or business nor me t the minimum educational 11 requirements for qualificati o in her employment . 12 Petitioner can dedu t the educationa l 13 expenses in question if she c n show that the course s 14 she took in 2001 maintained a d improved skills 15 required by her in her emplo ent 16 Income Tax Regs . Ste. A (O-Z - 5(A ( 17 The term "required"din that section i s IWO 18 intended to be a synonym for the sectionter m 19 "necessary", which has been interpreted to mea n 20 appropriate or helpful in a taxpayer's busines 21 Aaronson v . Commissioner, TC .Memo 1970-178 . n A h 22 Petitioner's supervlisor,, Ms . }cassias , 23 testified that Petitioner's n(1rci 24 program in which she took the courses in questio n 25 influenced her to hire Petitioner . She also testifie d Heritage ReportinO Corporation (202) 628,-4888 1 that Petitioner's work was aff cted positively by the 2 courses that she took, the cou ses improved her skill 3 set as an administrative profe siona1and the courses 4 improved and enhanced her pos i ion and performance . 6 5 6 7 8 9 1 0 1 1 1 2 1 3 1 4 1 5 1 6 17 Petitioner identifi e a work relate d requiremen t took in 2001 . each course that she ~- S We find that the cou ses in question were required by Petitioner in her mployment in that they were appropriate or helpful in her employment . Petitioner is entitl d to deduct the education expenses in question . This concludes the C urt's oral findings of fact and opinion in this case and a decision will be entered for Petitioner . All right . (Whereupon, at 9 :12 a .m ., the bench opinio n 18 in the above - entitled matter as concluded .) 19 / / 20 21 22 / / 23 24 // 25 Heritage Reportin Corporation (202) 628-4888