Using Improv as a Professional Development Expense

We have a client who is taking improv classes at The Second City, she is a realtor. Improv has been used in business development and is a tool that can be used to improv public speaking.

My question: Can improv classes be used as a professional development deduction? That is not what she is specifically taking it for, but it is an byproduct of the training.

Thank you in advance!

Sounds sketchy to me. I wouldn't file a return with that deducted.

It (business) should be the primary purpose of the class I think. I would think that improv would be helpful in an industry that is so dependent on personal relationships.

Sounds sketchy to me. I wouldn't file a return with that deducted.

It's not sketch, it's improv

It (business) should be the primary purpose of the class I think. I would think that improv would be helpful in an industry that is so dependent on personal relationships.

I agree, if the purpose of the class is for business, it would be deductible. Just like joining a Toastmasters group. But in the IRS's Tax Topic No. 513, they don't say it has to be the primary purpose. They say the class must be for education that maintains or improves your job skills. Communications is a job skill of a realtor. If this was my client, I'd see no problem in deducting the classes as work-related education.

The exception that is made in the Topic is that it doesn't qualify if it's part of a program that will qualify you for a new trade or business. There are no barriers to entry for a career as an improviser, so it seems like this would be ok.

Check out this link for an IRS tool on the issue: https://www.irs.gov/help/ita/are-my-wor ... deductible

We have a client who is taking improv classes at The Second City, she is a realtor. Improv has been used in business development and is a tool that can be used to improv public speaking.

There's some sense to this, so many times a realtor says something about a property and I think, "you're joking right?"

It's a facts/circumstances standard and burden of proof is on TP. Question is whether these really are for-fun and done as a hobby, or taken to hone communication skills that are, per 1.162-5(a)(1), "required by the individual in his her employment or other trade or business."

I think this is an easier one than gym fees (which are generally considered entirely personal). But something like a history of taking improv prior to being a real estate agent, or participation in performances as a hobby, would be negatives. And there's a question of whether what's done in improv is actually tied to being an agent. Do people walking through an open house suddenly yell out five words and ask you to drum up a story about them on the spot?

And - problematic: if the contention is that "all communication and performance-on-feet skills are helpful," then anyone who isn't working solo in a bunker might try the same argument, for any class related to public speaking or dealing with stressful situations. Rock climbing classes, drama, singing, motocross it's all helpful. And all generally done as hobbies.

Improv is similar to therapy and business coaching in that the role playing can have a therapeutic effect. That distinguishes it from other hobbies. I’ll bet the client noted it was so helpful to their trade that it should be deductible, and that’s how the question arose. In which case is it still be deductible? I’ve had clients not know an expense related to their business until I explained the connection. Then we deducted it.

Rock climbing classes, drama, singing, motocross it's all helpful. And all generally done as hobbies.

Motocross and rock climbing strengthens my ten-key hand => business expense.

Drama helps you feign interest when the client goes on and on and helps you mask your anger when you'd like to tell them off.

Caballero, Bittman, Prickley, et al v Commissioner

Call it advertising, after all she is trying to recruit new RE clients from her fellow students.

Hey all, thank you for the insightful and funny replies.