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Level 1
posted Jun 6, 2019 1:36:16 AM

Switched to W2 but might return to 1099. Can I keep writing off expenses that related to the same profession?

I am a physician.   In 2017 I primarily worked as a 1099 (self employment) contractor and wrote off expenses.  In late 2017 I took a W-2 position ( and still have it for 2018) and didn't earn any self employment income, but I still might do some self employment work as a physician in 2019.


Am I able to write off physician related expenses (licensing, continued education etc) for 2018 tax year?

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1 Best answer
Expert Alumni
Jun 6, 2019 1:36:17 AM

Miscellaneous deductions subject to the 2% limit, including unreimbursed job expenses (reported on Form 2106) have been repealed for tax years 2018 – 2025. Since you are now a W-2 employee you will not be able to deduct any of your physician related expenses in 2018.  

Self-employed (Schedule C) filers can still deduct these business-related expenses, as they have in the past. The repeal of unreimbursed work-related deductions only affects wage- and salary-earning employees who don’t own a business or work as a contractor. 

If you do some self-employment work in 2019, you will be able to write off these expenses on your 2019 income tax return.  

1 Replies
Expert Alumni
Jun 6, 2019 1:36:17 AM

Miscellaneous deductions subject to the 2% limit, including unreimbursed job expenses (reported on Form 2106) have been repealed for tax years 2018 – 2025. Since you are now a W-2 employee you will not be able to deduct any of your physician related expenses in 2018.  

Self-employed (Schedule C) filers can still deduct these business-related expenses, as they have in the past. The repeal of unreimbursed work-related deductions only affects wage- and salary-earning employees who don’t own a business or work as a contractor. 

If you do some self-employment work in 2019, you will be able to write off these expenses on your 2019 income tax return.