CDL for Truck Driver

[Parinayakosol_5225]

I am preparing my daughter's income tax. She was let go from the company in 2024 and decided to get a certificate for a specific skill. Can the expenses that she paid for this training be used for her LLC, or can it be used as deduction?

[Vanessa A]

No.  Expenses incurred to start a new career are not deductible as a business expense nor as a deduction.  

If she attended a Eligible Educational Institution, then she would possibly be able to claim the Lifetime Learning Credit.  Otherwise, this is not an expense that she will see a tax benefit from.  

If the LLC is for her Truck Driving, then when she renews, it would be able to be deducted as a business expense. 

[Parinayakosol_5225]

Thank you. That clear thing up for me.

[Parinayakosol_5225]

I have a follow-up question (from my daughter).

When she was laid-off, she worked as employee of a trucking company (she is not looking for a new career). Her CDL is to expand her skillset. If this is the scenario, can the tuition be used for deduction? 

From the reply -"If the LLC is for her Truck Driving, then when she renews, it would be able to be deducted as a business expense." I have a follow-up question:

the statement "When she renews" is that means she will renew her certificate when it is expired and that expenses can be deducted (even as employee) -am I understand it correctly?

[DawnC]

Not as an employee.   Job-Related expenses are not deductible in tax years 2018-2025.   She could deduct those expenses as a self-employed taxpayer on a business tax return.   It is not deductible from W-2 income, but it would be deductible from self-employment/LLC income.