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$7500 Tax Credit for Truck Drivers
12-21-2023

$7500 Tax Credit for Truck Drivers

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What is a $7500 Tax Credit for truckers?

A refundable $7500 Income tax credit for truck drivers to those who are qualified as commercial truck drivers. This takes effect via the "Strengthening Supply Chains through Truck Driver Incentives Act of 2022."

Objective of Strengthening Supply Chains through Truck Driver Incentives Act:

This bill aims to retain current drivers by offering temporary incentives and encouraging new drivers to enter the industry. This would assist in reinforcing supply chains.

The initiative is one of several attempts by both parties to alleviate the nation's driver shortage, which has increased freight rates and resulted in shortages of basic commodities.

The bipartisan law aims to offer prospective employees financial incentives to persuade them to become truck drivers.

Specifics of Truck Driver Incentives Act:

  1. Created a new refundable amount of $7,500 tax credit for truck drivers possessing a current Class a Commercial Driving Licence (CDL) and driving a minimum of 1,900 hours annually. The two-year tax credit period would be 2023 and 2024.
  2. For those starting their truck driving careers or those participating in recognized trucking apprenticeships, establish a new refundable tax credit of up to $10,000. There would be a two-year duration for this tax benefit.
  3. Permitted new truck drivers to qualify for the credit if they have driven for at least 1,420 hours this year and did not operate a commercial truck in the year prior.
  4. If they drive fewer than 1,420 hours annually but drove at least 40 hours per week on average when they first started driving, they could be eligible for tax credit for truck drivers.

The Wrap:

The purpose of the blog is to create awareness about the tax credit available for truck drivers based on the information published on the Congress website.

For further details, you can reach out to the Internal Revenue Service (IRS) or call the IRS at 866-699-4096 (toll-free).

Please note that Simple Form 2290 DOES NOT offer the tax credit service. 

To file your Form 2290 Online you can reach us!