Job Hunting Costs are Tax Deductible

If you're job hunting costs exceed more than 2% of your adjusted gross income, you can take a tax deduction. Costs you can deduct include employment and agency fees, resume services, transportation expenses, legal fees, and licenses. Other rules do apply. For instance, you can't be looking for your first job, and you must be looking for a job in your current occupation. You also can't leave the workforce for a year or two, reenter, and expect to claim a job hunting deduction. For more information, refer to IRS publication 529 at IRS.gov.