Wassenaar v. Commissioner
United States Tax Court
72 T.C. 1195 (1979)
Relevant factsFree
Wassenaar (plaintiff) had performed paid legal research, writing, and client-consultation work in law school, graduated, began studying for the bar and seeking legal employment, then entered a graduate tax program at NYU before being admitted to the bar and launching his own law practice; he deducted the graduate-program tuition as an ordinary business expense, but the Commissioner (defendant) disallowed the deduction.
IssueFree
Whether education expenses a federal taxpayer incurs to qualify for a new trade or business are deductible business expenses.