How do I claim my self employment expenses if I was paid with a W2?

[jasonpreston2]

I do accounting for two different businesses from home and instead of 1099 they W2 me due to the fact that I am not licensed.  Do I just leave the Business Income Section blank and proceed with entering my office expenses if the income is recorded in the W2 section?

[MichaelDC]

Yes. W-2 income is not input in the business section unless in very unusual circumstances.

As you are considered as an Employee with W-2 wages, the place to enter your expenses will be on Sch A.

Note that Employment Expenses are itemized deductions limited to only those over 2% of your AGI.

Follow these steps:

• Click Federal Taxes
• Click Deductions & Credits
• Click View All Tax Breaks
  
• Click Employment Expenses and (Start or Edit)