Work Asset (phone) Purchase

[Anonymous]

I purchased a cell phone for work use and would like to get a deduction for it as a work asset.  However, I purchased it through a deal with my cellular phone company where I pay 1 lump sum initially and then small amounts over each monthly payment for the next 2 years along with trading in my old phone, ultimately giving me a lower price overall.  I am unsure of how to enter this into TT.  Do I just total up the amount I've paid so far and put it in as the cost?  Does the trade in account for anything? 

[Cynthiad66]

If you have an allowable deduction for the phone.  It would be the actual amount you are required to pay for the phone.  Example:  Phone cost $1,000 and you get $300 off for the trade in, you deduction would be $700.

If you are working on a job with a W-2, the cost of the cell phone is not deductible as a business expense.  You must be self-employed to deduct business expenses.

f you’re self-employed or own a small business, you can deduct eligible business expenses to pay fewer taxes. These expenses must be common for your type of business and also necessary for your operations.

Common tax-deductible business expenses

Business use of your home

Business use of car