Comments on: Ask the taxgirl: Unpaid Internships

By: 10 Uses for Leftover Halloween Candy | taxgirl

10 Uses for Leftover Halloween Candy | taxgirl — Mon, 12 Dec 2011 20:04:50 +0000

[...] None, really. Unfortunately, candy provided to your work colleagues doesn’t qualify as an unreimbursed employee expense. Qualifying unreimbursed employee expenses are deductible on a Schedule A at line 21 to the extent [...]

By: 10 Uses for Leftover Halloween Candy — and the tax consequences! | Loggins And Associates, P.C.

Mon, 07 Nov 2011 13:53:00 +0000

By: Des

Des — Mon, 14 Sep 2009 20:48:31 +0000

Great info Hal.

By: Hal Leahy

Hal Leahy — Mon, 14 Sep 2009 18:51:09 +0000

Congratulations to the client on the internship. Since the internship is with the White House, another deduction opportunity arises.

The source for the following is IRS Pub 526 Charitable Contributions.

This only works if the client itemizes. Certain expenses related to volunteering are deductible as charitable contributions. In the pub see “Out-of-Pocket Expenses in Giving Services” on page 5. Among the expenses that would be deductible are the daily commute (which can add up) and the cost to get to and from the internship. If these expenses are large enough, they may be enough when combined with other deductions (sales/income tax) to let the client itemize.

The White House should be a qualifying organization. See point 5 on page 3 under “Types of Qualified Organizations”.

By: Des

Des — Mon, 14 Sep 2009 12:59:45 +0000

Thanks Tax Girl!! This is very insightful. Unfortunately she doesn’t itemize and the internship has nothing to do with her regular job. It was an opportunity of a lifetime to intern at the White House and she jumped on it, with her job support (meaning they are going to hold her job for her during the intern). Also, she may be able to argue part 1 of the rules to deduct educational expenses..but part 2 and 3 will be difficult.
Hal, that would be a great option to if it was school related. This was a strictly unpaid internship that any citizen could have applied for, nothing school related. It’s actually a great program.. Here is some info on it. http://www.whitehouse.gov/about/internships/

By: Hal Leahy

Hal Leahy — Sun, 13 Sep 2009 22:57:19 +0000

If the poster cannot itemizie, they should consider trying to recapture some of the expenses as a Tuition & Fees deduction. This is an adjustment to income on Form 1040 line 34. The amount is carried over from IRS Form 8917 Tuition and Fees Deduction. See Chapter 6 Tuition and Fees Deduction (page 36) of IRS Pub 970 Tax Benefits For Education for more information.