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wheehado
New Member

Usps rural carrier that bought new car in 2019 for job. Also used as personal vehicle. Requirement for job. Is it deductible and how if so?

Usps mail delivered many times out of it.
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2 Replies
AlanT222
Expert Alumni

Usps rural carrier that bought new car in 2019 for job. Also used as personal vehicle. Requirement for job. Is it deductible and how if so?

If your  pay is reported on form W-2, you will not be able to deduct your automobile expenses.  

The Tax Cuts and Jobs Act of 2017 eliminated virtually all unreimbursed work-related expenses (travel, tools and supplies, uniforms, etc.) for W-2 wage earners. It also eliminated tax return preparation fees, investment advisory fees, union dues, home office expenses, etc.

However, if you as an independent contractor, and your earnings are reported on Form 1099-MISC, your car expense and all other work-related expenses can still be deducted on Schedule C.  

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Knight0131
Returning Member

Usps rural carrier that bought new car in 2019 for job. Also used as personal vehicle. Requirement for job. Is it deductible and how if so?

If you were a rural mail carrier, you can treat the amount of qualified reimbursement you received as the amount of your allowable expense. Because the qualified reimbursement is treated as paid under an accountable plan, your employer shouldn't include the amount of reimbursement in your income.
You were a rural mail carrier if you were an employee of the United States Postal Service (USPS) who performed services involving the collection and delivery of mail on a rural route.

Qualified reimbursements.
These are the amounts paid by the USPS as an equipment maintenance allowance under a collective bargaining agreement between the USPS and the National Rural Letter Carriers' Association, but only if such amounts don't exceed the amount that would have been paid under the 1991 collective bargaining agreement (adjusted for changes in the Consumer Price Index since 1991).


If you were a rural mail carrier, do not use Form 2106. Your employer should not include the amount of reimbursement in your income.

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