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I sell construction material (I do not own my own company) and use my truck for work 90% and 10% for personal. Can this be considered an income producing property loss?

Or is it considered a personal property loss?
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2 Replies

I sell construction material (I do not own my own company) and use my truck for work 90% and 10% for personal. Can this be considered an income producing property loss?

Are you self-employed or do you get a W-2 from an employer?  If you are self-employed you can enter business expenses on a Schedule C.

 

If you are a W-2 employee, you 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.

 

 

If you live in a state that lets you deduct job-related expenses, the information will flow from your federal return  to the state return, so enter it in Federal>Deductions and Credits>Employment Expenses>Job-Related Expenses

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
Vanessa A
Employee Tax Expert

I sell construction material (I do not own my own company) and use my truck for work 90% and 10% for personal. Can this be considered an income producing property loss?

Federal

Are you a salesperson for a company and receive a W2?  If so, then there is nothing at all to report on your return.

 

If you receive a 1099-NEC for this work, then you can claim mileage or actual expenses for the truck and claim your other expenses.  This would not be a loss, it would be a business expense. 

 

When you say about a property loss, that would apply if you had a loss of a business asset, such as totaling your truck. 

 

State

Some states do allow you to claim employee  business expenses.  If so, as you walk through the state interview questions, TurboTax will ask you about your employee expenses. 

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