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posted Sep 19, 2023 10:14:22 AM

commuting deduction for 2nd work location that is far

I have a W-2 job that has 2 work locations, the 2nd location is far (3 hour drive) that I go to once per week and requires and overnight stay. Is the commute back and forth to my home for the 2nd location a deductible business expense since it's far?

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1 Best answer
Level 15
Sep 19, 2023 10:40:36 AM

Local commuting is covered under "transportation", while travel that requires you to make an overnight stay is covered under "travel" in publication 463.

https://www.irs.gov/forms-pubs/about-publication-463

 

These expenses are not deductible on your federal tax return through 2025 due to the 2017 tax reform.  You can still list expenses in Turbotax because some states still allow the deduction under the old rules.  You may be able to include car expenses, food and lodging.

 

Also note that your employer can reimburse you tax-free under an accountable plan.  You may want to discuss this with them.  The IRS does not require them to reimburse you, but the payments are tax-free if the employer follows the required procedures.

 

Your state employment laws may have something to say on the subject, especially if the travel is required as a condition of employment.  Depending on the job and your wages, if your unreimbursed expenses lower your net income to below minimum wage, this may be illegal in your state. 

3 Replies
Level 15
Sep 19, 2023 10:32:24 AM

Sorry, no.  Employee business expenses are not deductible on a federal tax return due to the tax code changes in effect for tax years 2018 thru 2025.

Level 15
Sep 19, 2023 10:40:36 AM

Local commuting is covered under "transportation", while travel that requires you to make an overnight stay is covered under "travel" in publication 463.

https://www.irs.gov/forms-pubs/about-publication-463

 

These expenses are not deductible on your federal tax return through 2025 due to the 2017 tax reform.  You can still list expenses in Turbotax because some states still allow the deduction under the old rules.  You may be able to include car expenses, food and lodging.

 

Also note that your employer can reimburse you tax-free under an accountable plan.  You may want to discuss this with them.  The IRS does not require them to reimburse you, but the payments are tax-free if the employer follows the required procedures.

 

Your state employment laws may have something to say on the subject, especially if the travel is required as a condition of employment.  Depending on the job and your wages, if your unreimbursed expenses lower your net income to below minimum wage, this may be illegal in your state. 

Level 15
Sep 19, 2023 12:42:31 PM

Sorry---W-2 employees cannot deduct job-related expenses on a federal return.  Job-related expenses were eliminated as a federal deduction for W-2 employees by the tax laws that changed for 2018 and beyond.  Your state tax laws might be different in AL, AR, CA, HI, MN, NY or PA.

 

 

 

https://ttlc.intuit.com/questions/4482873-which-federal-tax-deductions-have-been-suspended-by-tax-reform