Yes, the IRS does allow internet and cell phone costs to be deducted when they are required to perform your job. Because you use these services for both kinds of work, you must allocate the costs between the two. A good way to do this would be determine a percentage that the internet or phone is used for each business use, vs personal use, and then divide the bills by these percentages. To enter in TurboTax:
- If you are an employee, you will enter this expense in the section for Job-Related Expenses, under the Deductions & Credits heading, which will be transferred to Form 2106 and then your Schedule A (if you are in fact itemizing).
- If you are self-employed, this will go on your Schedule C and would be entered on the screens after you enter Self-Employment Income, under the Wages and Income heading. (Please be aware that you may be prompted to upgrade to the Self-Employed version of Turbotax.)
Please see this TurboTax article for more information: https://turbotax.intuit.com/tax-tools/tax-tips/Small-Business-Taxes/Can-Cellphone-Expenses-Be-Tax-De...
