TAX BREAKS
Take Advantage of IRC 127 With SkillsWave
Ready to take advantage of tax breaks on up to $5,250 per employee in learning spend? We’re here to help.
Book a demo and you’ll learn how to:
- give your team personalized, skill-focused recommendations at scale—at no extra cost
- manage and track employee learning effortlessly
- streamline tax compliance and reporting
Talk to An Expert
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TAX BREAKS
Get IRC 127 Compliant With SkillsWave
Ready to take advantage of tax breaks on up to $5,250 per employee in learning spend? We’re here to help.
In this quick product tour, you’ll learn how to:
- give your team personalized, skill-focused recommendations at scale—at no extra cost
- streamline tax compliance and reporting
See How
Your information will be processed according to our Privacy Policy. By clicking above, you authorize SkillsWave Family of Companies to contact and send you marketing communications.
Watch the Product Tour
What To Know About IRC Sec. 127
IRC Section 127 allows U.S. businesses to deduct as an expense your investment in education benefits up to $5,250 per employee, reducing your business’ taxable income.
This also means that the amount of that benefit (up to $5,250) will not be included in the employee’s taxable income—meaning your employee’s tax burden won’t increase, either.
The IRS provides an example policy that meets all eligibility requirements.
An Employee Upskilling Platform Trusted by Organizations Like Yours
IRC Sec. 127 Eligibility Checklist
- Your organization has a formal Educational Assistance Plan (EAP)
- The program is available in writing and available to all eligible employees
- The program is equitable and not offered favorably to highly compensated employees
- The program doesn’t provide more than 5% of its benefits to shareholders or owners who own more than 5% of the company
- The program is not offered to employees as a choice between educational assistance and other remuneration options
- The program has clearly defined eligibility criteria
- The program is available to employees without any obligation to stay with the company after receiving the benefit
- You maintain detailed records of your investment in each employee so you’re prepared should the IRS request them
- You’ve consulted with your Finance team or a tax expert about applying for the tax break
About SkillsWave
Our Vision
At SkillsWave, we believe learning can drive people and businesses forward, future-readying them for an evolving workforce. We aim to provide quality learning opportunities that align with organizational needs to build tomorrow’s most valued skills. Our upskilling platform and strategic educational partnerships propel career and company growth forward, leading the way to success.