Overview
Form
Job-Related Graduate Course Certification Application Form (PDF/Word)
Instructions
Eligibility
IRS Tax Regulations
Instructions
Please submit this form together with your Tuition Exemption Benefit Form (obtained via the CU Benefits Enrollment System) at the beginning of the term to the appropriate office (depending on where you are registering for classes). REMEMBER THAT BOTH YOU AND YOUR SUPERVISOR NEED TO SIGN THE FORM.
If you are enrolled in an undergraduate degree program, you do not need to complete this form. Graduate-level courses taken as part of undergraduate degree programs are not taxable.
Eligibility
Complete this form (1) if you receive Tuition Exemption for graduate courses (4000 and above) or a graduate degree program, and (2) if you believe the classes you take meet the Internal Revenue Service definition of job related (see "Job-Related Courses" below).
Note that the University will deduct taxes for ALL of your courses in a given term unless ALL of them are job related. (You may later file with the IRS for reimbursement for any course that is job related.)
IRS Tax Regulations
Under current IRS rules, tuition exemption benefits for graduate courses are taxable unless courses are job related. A course is job related (and the benefit is tax exempt) if it meets the criteria in Treasury Regulation Section 1.162.5, namely:
(a) The course maintains or improves skills required in your current position; OR (b) The course meets express requirement of applicable law, to retain (but not obtain) your current position;
AND
(c) The course does not enable you to meet the minimum educational requirements for your current job;
AND
(d) The course does not qualify you for a new trade or business
In other words, a course is considered job related if EITHER (a) or (b) is true, AND if BOTH (c) and (d) are true.
Under current IRS rules, tuition exemption benefits for graduate courses are taxable unless courses are job related. In addition, the IRS considers all doctoral programs taxable. The IRS considers these programs or degrees upward-bound education that may qualify you for a new trade or business as defined by IRS criteria. Master's degrees may or may not be taxable, depending on whether the courses may qualify you for a new trade or business.
Imputed income means that you pay taxes on the cost or value of your tuition benefits in excess of $5,250.
Keep in mind that tax laws are complicated and change often. Your best source of information about tax laws and how they affect you is a professional tax advisor.
The HR/Benefits website is intended only to provide information for the guidance of Columbia University Officers, staff and union employees. The writers of the content have exercised their best efforts to ensure accuracy of the information, but accuracy is not guaranteed. If there are any discrepancies between the information on the website, verbal representations and the Plan documents, the Plan documents will always govern. The information is subject to change from time to time, and the University reserves the right to change or terminate these Plans at any time. The information contained on the website is not intended to replace the plan documents, nor is the information in any way intended to imply a contract.