Tax deductions for remote W2s

Forum|Forum|2 years ago
June 28, 2023
2 replies
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I work remotely, from home, as a W2 employee but I can't seem to get a tax break from a standard deduction in using my home office, equipment, etc.

Is there a tax break for this situation? If so, how do I navigate TT to receive that tax break? Thanks!

Ask the Experts - Energy - June 2023

DoninGA

Level 15

As a W-2 employee your employee business expenses are not deductible on a federal tax return due to the tax code changes in effect for tax years 2018 thru 2025, including expenses for a home office.

Andreea12Author

Level 2

Thanks, are they deductible on a state tax return? If so, where can I find more information about that?

Cate9

Employee Tax Expert

There are some states that allow home office deductions for employees. We just have to check to see if your state is one of them.

MelanieC1

Employee Tax Expert

Hi @Andreea12

W2 employees can no longer claim unreimbursed employee expenses as miscellaneous itemized deductions. The Tax Cut and Jobs Act (TCJA), enacted in 2018, eliminated unreimbursed employee expense deductions for all but a handful of qualified employees or an eligible educator.

The only qualified employees are:

Armed Forces reservists
Qualified performing artists
Fee-basis state or local government officials
Employees with impairment-related work expenses

While you can't claim these costs on your federal taxes, you might be able to on your state income tax returns if you live in Alabama, Arkansas, California, Hawaii, Minnesota, New York, or Pennsylvania.

Thank you!

Andreea12Author

Level 2

Thanks, what is meant by an eligible educator?

TeriH

Level 6

You're an eligible educator if you meet the following criteria: You work as a teacher, principal, counselor, instructor or aide. You've worked at least 900 hours during the school year. You teach at a public or private elementary or secondary school (K-12)

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