Reservist Airline and Car Rental Deduction - where to enter it?

[revoFL]

I only see boxes to enter expenses for:

Parking, ferry fees and tolls

Loding expenses

Meals expenses

WHERE do I enter airline ticket expense, car rental expense ?????

[TXJohn]

Same issue, Form 2106 is not giving the options to enter Airline and Rental Car costs for un-remibursed military travel.  Where does this get entered?

[SusanY1]

Unfortunately, these items are no longer deductible expenses.  For reservists traveling more than 100 miles from home, only those items listed in the TurboTax program are deductible in tax years 2018 and later.  

I am sorry that I do not have better news for you, and I thank you for your service.

[revoFL]

http://www.military.com/money/personal-finance/taxes/secret-national-guard-and-reserve-tax-break-you...

Wouldn’t make sense to allow for mileage but not airfare. Travel cost is travel cost. I believe TurboTax has never done this part correctly. 

[MaryK4]

Unfortunately, I think TurboTax is/was more focused on the Job Related expenses and should include the more inclusive and perfectly acceptable "Travel Expenses" as a separate category that would go to the Line 3 of the Form 2106. 

[SusanY1]

It would seem that way - that travel is travel, but that's not the way that the law is currently written.  The link posted to the article at military.com is outdated and refers to the pre-2018 revisions to the law.

Prior to 2018, this deduction was included in the broader miscellaneous itemized deductions, but that is no longer the case. Miscellaneous itemized deductions/employee business expenses were suspended for the majority of taxpayers in tax years 2018 and later.   

For reservists who travel more than 100 miles from home for duty, the only expenses that are currently deductible are lodging and meals (up to the federal per diem rates) plus mileage, tolls, parking, and ferries.  

These items are listed out in the instructions for Form 2106.  You can find those instructions here:  Form 2106.

@revoFL

@TXJohn

[JohnB5677]

Here is how to get there.

Go to:

1. Federal
2. Deductions & Credits
3. Employment Expenses
4. Job Related Expenses
5. YES  Do you have expenses from one of these
6. Occupation
7. Check "I wasn't in any of these professions or situations"
8. Check "None of these apply to me "
9. NO Office expense
10. NO vehicle expense
11. NO " I didn't buy or own items..."
12. YES "I have leftover deductions..."

Travel type expenses can be entered here.  The next screen will give you a free form entry area for other expenses.

[Mr_C_14]

Although the IRS instructions don't specifically mention airline tickets and rental cars as qualifying Reservist travel expenses, the actual form 2106 does list those as legitimate expenses.  I believe Turbo Tax may be interpreting this incorrectly.

[KrisD15]

You could enter those expenses as "Travel expenses" on Form 2106.

Type   Form 2106    into the search box and then click the "Go to" or "Jump to" link. 

[TXJohn]

The rule you are applying is assuming the reservist travels without an overnight stay... you are missing an important part:


This is from 2020: http://militaryfinancialadvisors.org/deducting-reserve-expenses/

"Travel Expenses for Overnight Stays

• These expenses include lodging, airfare, car rental, etc.
• Do not include meals in this category
• You can include incidental expenses, which covers items such as fees and tips; instead of tracking actual incidental expenses, you can use the alternate method of $5/day, but you can only use this alternate method if you are claiming no meal expenses for the same day"

Turbo Tax's narrow interpretation is costing service members money.

[TXJohn]

And another from 2021: https://www.512aw.afrc.af.mil/News/Article-Display/Article/2532413/reservists-eligible-for-travel-ta...

"According to the Internal Revenue Service website, eligible reservists should complete IRS Form 2106, Employee Business Expenses, to claim all unreimbursed travel, including meals, from the time they leave their residence until their return. Parking fees, tolls, ferry fares, train tickets and airfare also can be listed as travel expenses."