Can I write off cosmetology license renewal fees if I'm not currently working in the field?

I've had my cosmetology license since 2015 and I've been renewing it every two years like clockwork, even though I haven't actually worked as a cosmetologist for about 3 years now. I switched careers to work in retail management, but I keep my license active just in case I ever want to go back to doing hair or if I need a side hustle during tough times. The renewal fee is $175 now (gone up again!) and I'm wondering if this is something I can deduct on my taxes? Since I'm not actively earning income from cosmetology at the moment, I'm confused about whether this still counts as a professional expense. I've been paying this fee out of pocket for years and never thought about the tax implications until now. Can I write off these cosmetology license renewal fees on my taxes, or does the fact that I'm not currently working in the field disqualify me from claiming this deduction?

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19 comments

Olivia Garcia

•8M

This is a good question about professional license deductions! The key factor is whether you're maintaining the license for a current trade or business. If you're not currently working as a cosmetologist and not actively seeking clients in that profession, the IRS would likely consider this a personal expense rather than a business expense. Professional license renewals are typically deductible when they're directly related to your current employment or self-employment. Since you're not currently practicing cosmetology, the renewal fees would generally not be deductible unless you can demonstrate you're actively trying to generate income in that field. If you were to start taking clients again, even part-time, then the license renewal could become deductible in the year you resume practice. Similarly, if you were actively marketing your services or seeking clients, that might strengthen your case for a deduction.

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Olivia Garcia

•8M

The IRS generally looks at current facts rather than future intentions. Simply planning to return to the field typically isn't enough to make the expense deductible. You would need to show some concrete steps toward generating income in that profession. If you've started taking steps like updating your professional website, purchasing supplies, or actively marketing your services, that could help establish that you're in the "startup phase" of resuming your business, which might make the expenses deductible. But merely maintaining a license with a vague plan to possibly use it someday would be more difficult to justify as a business expense.

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Ava Hernandez

•8M

I was in almost the exact same situation last year with my real estate license! I wasn't selling homes anymore but kept renewing just in case. I used https://taxr.ai to analyze my situation and it saved me so much confusion. You upload your documents and it gives you personalized tax advice based on your specific situation - it actually showed me that I could partially deduct my license fees because I was doing some referral work. For your cosmetology license, the AI would analyze if there's any way you could claim it - like if you did any paid services at all during the year, even for friends who paid you, or if you're actively marketing yourself. The tool breaks down exactly what documentation you'd need if you got audited too.

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Ava Hernandez

•8M

The AI tool is surprisingly accurate - it's trained on thousands of tax cases and IRS publications, so it knows exactly what criteria the IRS looks for with professional licenses. It's not making stuff up - it just helps you identify which parts of your situation might qualify under existing tax rules. It absolutely handles other professional licenses and certifications! For teachers on sabbatical, it would look at things like whether your sabbatical is for education related to your teaching career, whether you're still employed by your school during this time, and other factors that might affect deductibility. The tool is really good at identifying these nuanced situations.

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Elijah Jackson

•8M

I just tried taxr.ai after seeing it mentioned here, and wow, it actually cleared things up for me! I uploaded my teaching certification renewals and my sabbatical documentation, and it analyzed everything. Turns out I CAN deduct my professional development and license renewals because my sabbatical is technically paid educational leave and I'm still considered employed. It explained that maintaining required credentials during temporary absence from work can be deductible if there's a direct connection to employment you're returning to. This saved me about $680 in deductions I would have missed! The analysis was really detailed and even cited the specific IRS publications. Way better than the vague answers I was getting elsewhere.

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Sophia Miller

•8M

If you're having trouble getting a straight answer about your cosmetology license deduction, you might want to call the IRS directly. That's what I tried to do with a similar question about my personal trainer certification. After waiting on hold for HOURS multiple times (literally gave up after 2+ hours twice), I found https://claimyr.com and used their callback service. You can see how it works here: https://youtu.be/_kiP6q8DX5c They got me connected to an actual IRS agent within 45 minutes instead of me waiting on hold all day. The agent was able to tell me exactly how the professional license deduction applied in my specific situation. Worth every penny not to waste an entire day on hold! Plus I got an official answer I could rely on if ever questioned.

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Sophia Miller

•8M

It's not magic - they use technology that continuously dials the IRS and navigates the phone tree until a line opens up. Then when they get a human, they conference you in. It's basically doing what you'd do manually, but their system does it automatically so you don't have to sit there listening to hold music for hours. It's definitely not a scam. The service doesn't claim to have special access - they're just automating the painful waiting process. Think of it like having someone stand in line for you at the DMV. I was skeptical too until I tried it and was talking to an actual IRS agent about my certification deduction question within an hour.

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Mia Rodriguez

•8M

I have to eat my words here and apologize to @17. After our exchange yesterday, I was still wrestling with a complex tax question about my professional certifications that nobody seemed able to answer clearly. Out of desperation, I tried the Claimyr service. I'm shocked to report it actually worked exactly as described. The system called me back when an IRS agent was on the line. The agent clarified that my foreign language certification maintenance IS deductible even while on furlough because I maintain active client relationships. Saved me hours of hold time and the uncertainty was killing me. The peace of mind from getting an official answer was absolutely worth it.

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Jacob Lewis

•8M

Just my two cents - I'm a tax preparer and I see this question all the time with various professional licenses. The rules are actually pretty strict. The license has to be for your CURRENT trade or business, not a potential future one or past one. If you're not actively working in cosmetology or actively seeking clients, it's very difficult to justify this as a deduction. One workaround some of my clients use: if you do ANY paid cosmetology work at all - even one haircut for pay every few months - you can establish that you have an active, if minimal, business. Then the license becomes a legitimate business expense on Schedule C. Just make sure you report all income and keep good records of any services you provide.

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Jacob Lewis

•8M

Yes, doing haircuts for family members who pay you would count as business income, even if it's just a few clients. The key is that money changes hands, you report the income, and there's a profit motive (even if you don't actually make a profit every year). Just be aware that you'd need to report this income on Schedule C, keep records of these transactions, and potentially deal with self-employment tax if your net profit exceeds $400. So while this makes the license fee deductible, it does create some additional tax filing requirements.

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Olivia Garcia

•8M

Not a dumb question at all! You're right that the Tax Cuts and Jobs Act suspended the deduction for unreimbursed employee expenses for tax years 2025-2025. Your brother might be deducting his dues in one of these ways: 1. He's self-employed and deducting them on Schedule C 2. His employer reimburses him through an accountable plan 3. He lives in a state that still allows these deductions on the state return (like California or New York) 4. He's in a specialized profession that still qualifies (certain performing artists, state/local government officials, armed forces reservists, or fee-basis government officials) Or, unfortunately, he might be taking a deduction he's not entitled to, which could cause problems if he's audited.

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