If you’re in school, just started working, or learning a trade, the tax code can help to lower the cost of education and training. Here are a few relevant items to keep in mind:
👉 Education Credits Apply to More Than Just College
The American Opportunity Credit and Lifetime Learning Credit aren’t just for traditional universities. Many trade schools, technical programs, and certificate courses now qualify. If you’re learning new skills, you may be able to offset some of the cost through a tax credit.
👉 Tools and Gear May Be Deductible
Buying tools for a trade job (e.g., welding, auto repair, cosmetology)? If you’re earning self-employment income, you might be able to deduct the cost of those tools as business expenses. In some cases, deducting those costs as business expenses can be more beneficial than claiming the tax credits—or we may be able to use some combination of multiple strategies to ensure your maximum tax benefit.
👉 Student Loan Refund Offsets Are Back
If you’re behind on student loans, the government has announced that they are resuming collections efforts that have been “paused” for years. This will include snatching some tax refunds. To prevent any such issues, you would want to reach out to your student loan company and make sure you are in good standing and won’t become subject to tax refund confiscation or other unpleasant surprises.
YOU are the one who is working hard to build your future. We aim to help you use the tax code to build your future more affordably and effectively. As usual, the smarter you are with your tax strategies, the smoother your path will be!
Interested in reducing your tax burden in 2025 and beyond? Our tax reduction consulting service is designed to help you take full advantage of recent changes in tax law. To schedule a meeting with an Easy Tax Service Professional, please call 928-775-7000 Ext 0 and speak with our receptionist.