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EA Changes for all classes starting after December 31, 2008
Individual Courses (All Participants)
IRS Publication 970 has established that educational costs for all individual courses (not part of an identified degree or certificate program) will be taxable in excess of the $5,250 annual exclusion. Costs will be applied to the participant's gross salary and the appropriate federal income and payroll taxes will be withheld.
Please note: Individual courses defined as a sport, game, or hobby do not qualify for the annual $5,250 tax-free exemption and are considered "fully taxable".
Sport, Game, or Hobby Courses (All Participants)
Courses related to sport, game, or hobby do not qualify for the $5,250 annual tax exclusion. Tuition and qualified fees will be fully funded through QTTP/LTP, however all costs will be applied to the participant's gross salary and the appropriate federal income and payroll taxes will be withheld.
Examples of courses considered Sport, Game, or Hobby include, but are not limited to:
 Real Estate |
Culinary / cooking courses |
| Photography |
Yoga |
| Scuba diving |
Home remodel / repair |
| Art / cartooning |
Bridal consultant |
| Cosmetology |
Massage therapy |
| Furniture design / repair |
Graphic design |
| Animation |
Landscape design |
| Gardening |
Gunsmith |
| Dog obedience / training |
Auto body repair |
| Floral design |
Catering |
| Pet Grooming |
Equestrian |
Website References:
Joint Programs: http://iamboeing.web.boeing.com
Learning Together: http://learningtogether.web.boeing.com
IRS Publication 970: http://www.irs.gov/publications/p970/index.html
For more information on IRS Tax Policies on Employer-Provided Education Assistance see Ch.11 of Publication 970
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