Ohio Tax Credit Aimed at Truck Driver Shortage

In an effort to assist with truck driver shortages and ongoing supply chain delays, today Ohio enacted a new income tax credit designed to help employers offset expenses incurred to train new commercial vehicle operators.

Employers may apply for up to half of the cost of training, not including wages, incurred between calendar years 2023-2026. The credit is a nonrefundable income tax credit capped at $25,000 annually with a five-year carryforward.

Eligible employers must file an application with the director of the Ohio Department of Development to certify costs by Dec. 1 of each year. The director awards credits in January of the year after the year of the expense. The credit may be claimed by employers that are sole proprietors or organized as a pass-through entity (partnership, limited liability company, or S corporation). The credit can be passed through to the pass-through entity owners or can be claimed on the entity’s composite tax return IT 4708.

For more information on this new commercial driver training credit, reach out to your KSM advisor or fill out this form.