DaveF1006
Employee Tax Expert

Get your taxes done using TurboTax

If you are a W2 employee, employee business expenses are no longer deductible on the federal return.  You may be able to deduct the expenses on your state return if you live in the states of Alabama, Arkansas, California, Hawaii, Minnesota, New York and Pennsylvania. If you live in these states, here is how to report.

 

  1. Go to federal>deductions and credits
  2. Employment Expenses
  3. Job Expenses for W-2 Income

Once you are here, you can navigate through the screens and claim expenses like home office expense, telephone and internet expense, computer, licensing fees if these exist and other expenses  Once done, these will not show up as itemized expenses on your federal return but will appear on your state return, if you itemize expenses for the year versus taking the standard deduction.

 

If you are an independent contractor that is responsible for paying your own taxes, you may claim certain deductible expenses against your income both on the federal and state level. Please read this wonderful Turbo Tax article that explains the expenses that you can deduct against your self-employed income. Here is how to enter.

 

  1. Open or continue your return.
  2. Select Search, enter schedule c and select the Jump to schedule c.
    • Or go to Wages & Income and select Start or Revisit next to Self-employment income and expenses under Self-Employment.
  3. Answer Yes to Did you have any self-employment income or expenses?
    • If you've already entered self-employment work and need to enter more, select Add another line of work.
  4. Follow the on-screen instructions to enter your Schedule C.

Here are the self-employed expenses you can deduct and where to enter them.

 

 

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