Monday, January 27, 2014
Some of the Employee Expenses that are Deductable
Many employees today are using their own resources to provide certain miscellaneous items that help their employer's business run more efficiently. Unfortunately these expenses are not being reimbursed or employees are afraid to ask for reimbursement. The good news is that the IRS may allow you to get some tax relief in these circumstances.
If you find that you are spending your own money at business related functions, home-work activities or multiple job sites, then you may be entitled to request a company reimbursement or claim a tax deduction for your un-reimbursed expenses. Here are some of the most common costs that employees may be able to deduct if not reimbursed.
Business Miles: If you use your own vehicle for any business purposes, keep track of you mileage, you may be able to deduct them at 51 cents per mile (2011 figure). If you travel between job sites during the day, make bank deposits, deliver packages or materials or drive as an outside sales person, your miles can add up to a large tax savings.
Travel Expenses: If you are required to travel overnight for any business related purpose without being reimbursed, your costs are deductible. Conferences, continuing education trips, off site training programs or whatever other business related trip costs are deductible. Make sure to keep receipts and a log book.
Parking and Tolls: If you are paying tolls or even certain parking fees as part of your work, you may be able to deduct them. Daily commuting tolls are not deductible, but any other tolls are. If you work in a downtown area and your employer does not provide on-site parking, your parking fees for off-site parking may be deductible. Keep your receipts and let your tax adviser know.
Uniforms: Uniforms are often overlooked. Whether it is nurse uniforms or steel-toed work boots, they are a job requirement. While some employers provide them, many others do not. If you find that you are purchasing clothing items that are used exclusively at your job and would not be used for everyday wear, they are probably deductible expenses.
Association Dues: Any fees or dues that you pay as part of your work relationship, are deductible. If you pay for notary public, professional association, re-certification, licensing or union dues, you can take a deduction for these items as well.
Meals and Entertainment: Many employees these days are being asked to work overtime, are "on call" or travel between job sites. If you incur meal costs during these special work events, keep receipts and take your deduction. If you entertain customers or clients during or after hours, your expenses are also deductible if they are not reimbursed.
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