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Does paying for flight school count as a certificate program to receive a tax break?

Forum|Forum|1 year ago
February 11, 2025
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I took out a loan to help pay for flight school (training to become a pilot) and have also saved money to help pay for the expenses. Tuition, living, etc.

Best answer by Hal_Al

Q. Does paying for flight school count as a certificate program to receive a tax break?

A. No. Just paying the school money does not count as "a certificate program". A certificate program is one where the school actually awards a certificate.

Flight schools and other vocational schools are eligible for the AOTC. If you were half time or more and the school awarded a degree, certificate or other credential, upon completion, then you are eligible for the American opportunity tax credit (AOTC). Otherwise, you may be able to take the less generous Lifetime Learning Credit (LLC)

To be eligible for the tuition credits, the course must be taken at "an eligible institution". The school should be able to tell you if it is an eligible educational institution. In general, an eligible educational institution is an accredited college, university, vocational school, or other postsecondary educational institution, including accredited, public, nonprofit, and proprietary (privately-owned, profit-making) postsecondary institutions. Additionally, in order to be an eligible educational institution, the school must be eligible to participate in a student aid program administered by the Department of Education. If they issue a 1098-T they are probably an eligible institution.

See if your school is on the U.S. Department of Education’s https://www.savingforcollege.com/eligible-institutions

T

ThomasM125

Per this excerpt from an IRS article on qualifying education expenses, the education expenses would have to be part of a degree program or other recognized education credential, or taken to acquire or improve your job skills to qualify for an education credit:

Only tuition and required books and supplies would qualify, not living expenses.

Also, if the course helps you acquire or improve jobs skills but does not provide for a degree or recognized credential, it may still qualify for a Lifetime Learning credit as opposed to the potentially more beneficial American Opportunities Credit.

[Edited 2/12/25 at 10:37 AM PST]

@cmantilla3

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Hal_AlAnswer

Employee

Q. Does paying for flight school count as a certificate program to receive a tax break?

A. No. Just paying the school money does not count as "a certificate program". A certificate program is one where the school actually awards a certificate.

Flight schools and other vocational schools are eligible for the AOTC. If you were half time or more and the school awarded a degree, certificate or other credential, upon completion, then you are eligible for the American opportunity tax credit (AOTC). Otherwise, you may be able to take the less generous Lifetime Learning Credit (LLC)

To be eligible for the tuition credits, the course must be taken at "an eligible institution". The school should be able to tell you if it is an eligible educational institution. In general, an eligible educational institution is an accredited college, university, vocational school, or other postsecondary educational institution, including accredited, public, nonprofit, and proprietary (privately-owned, profit-making) postsecondary institutions. Additionally, in order to be an eligible educational institution, the school must be eligible to participate in a student aid program administered by the Department of Education. If they issue a 1098-T they are probably an eligible institution.

See if your school is on the U.S. Department of Education’s https://www.savingforcollege.com/eligible-institutions