Can I deduct the cost of college not covered by hope/lifetime learning credits?

Question

I'm self-employed with a staffing agency as an independent contractor, as a nursing technician, and almost finished with RN school. The college I'm going through does not participate in federal financial aid. I'm aware that I can't take a hope or lifetime learning credit because of that, but would the tuition be deductible as an ordinary and necessary business expense? As a nursing technician, am I considered part of the nursing profession, even though I'm not licensed as such? I do have the mandatory certification the state requires.

Answer 1

Even though your school does not participagte in federal financial aid, is is eligible to participate? Virtually all accredited postsecondary schools (public, private, proprietary) are eligible.

You are a nursing tech at a staffing agency and a nursing student. This is a common situation. You are not improving existing job skills, you are entering a new profession. If you were working as an LPN and enrolled in an RN program it would be different.

Look again at the tuition and fees deduction or LLC and see if you can't take one of those.

Answer 2

First you should find out if your school is eligible to participate in a student aid program administered by the Dept. of Education. They should be able to tell you this.

If so, you will most likely be able to claim either the Lifetime Learning Credit or the tuition/fees deduction.

IRS Pub. 970 Tax Benefits for Education
http://www.irs.gov/pub/irs-pdf/p970.pdf

Education expenses you incur to meet the minimum requirements of your present trade or business, or those that qualify you for a new trade or business, are not deductible. This is true even if the education maintains or improves skills presently required in your business.

Answer 3

you may deduct the activity you paid on your pupil loans, in case you paid any in the course of the year. you may also qualify for an preparation tax credit depending on the quantity you easily paid for your college (no longer the quantity that replaced into given to them by ability of provides you or scholarships). maximum of the web tax prep web content will ask you the right inquiries to confirm which particular type of teaching credit you may qualify for.

Answer 4

Judy, I think he is eligible for the tuition and fees deduction isn't he?

Answer 5

Since it's qualifying you for a new, though related, profession, I don't think it would qualify.