You must itemize deductions on Schedule A (Form 1040 or Form 1040NR) to claim miscellaneous deductions.
- Report your miscellaneous deductions subject to the 2% limit on lines 21 through 23 and the total on
line 24 for Form 1040, or lines 9 through 11 and the total on line 12 for Form 1040NR.
- Report your miscellaneous deductions not subject to the 2% limit on line 28 for Form 1040, or line 16 for Form 1040NR.
See Instructions for Schedule A in your Form 1040 or Form 1040NR instruction booklet for more information.taxmap/pubs/p529-003.htm#en_us_publink100027066
If you have deductible employee business expenses, you usually must file either Form 2106 or Form 2106-EZ.
You must file Form 2106 or Form 2106-EZ if any of the following applies to you.
- You are a qualified performing artist claiming performing-artist-related expenses.
- You are a fee-basis state or local government official claiming expenses in performing that job.
- You are an individual with a disability and are claiming impairment-related work expenses. See Impairment-related work expenses, later.
- You have travel expenses as a member of the Armed Forces reserves that you can deduct as an adjustment to gross income.
- You are claiming job-related vehicle, travel, transportation, meal, or entertainment expenses. This does not apply if either of the following is true.
- None of your expenses are deductible because of the 2% limit on miscellaneous itemized deductions.
- Your only entry on Form 2106 or Form 2106-EZ is on line 4. If this is true and (a) above is not true, enter the expenses directly on Schedule A (Form 1040), line 21, or Schedule A (Form 1040NR),
You can use the shorter Form 2106-EZ instead of Form 2106 if both of the following apply.
- You are not reimbursed by your employer for any expenses. (Amounts your employer included as wages on your Form W-2, box 1, are not considered reimbursements.)
- You are not claiming vehicle expense, or
- You are using the standard mileage rate for your vehicle.
If you have reserve-related travel that takes you more than 100 miles from home, you should first complete Form 2106 or Form 2106-EZ. See Publication 463 for more information.taxmap/pubs/p529-003.htm#en_us_publink100027069
Use Part V of Form 4562, Depreciation and Amortization, to claim the depreciation deduction for a cell phone or for a computer that you did not use only in your home office. Complete Form 4562, Part I, if you are claiming a section 179 deduction. However, if you file Form 2106 or Form 2106-EZ, claim your depreciation deduction on that form and not on Form 4562.taxmap/pubs/p529-003.htm#en_us_publink100027070
Use Form 4562, Part III, to claim the depreciation deduction for a computer you placed in service during 2009 and used only in your home office. Complete Form 4562, Part I, if you are claiming a section 179 deduction.
Do not use Form 4562 to claim the depreciation deduction for a computer you placed in service before 2009 and used only in your home office, unless you are otherwise required to file Form 4562. Instead, report the depreciation directly on the appropriate form. But if you are otherwise required to file Form 4562, report the depreciation in Part III, line 17. taxmap/pubs/p529-003.htm#en_us_publink100027071
If you are an employee, you enter impairment-related work expenses on Form 2106 or Form 2106-EZ. Enter on Schedule A (Form 1040), line 28, or Schedule A (Form 1040NR), line 16, that part of the amount on Form 2106, line 10, or Form 2106-EZ, line 6, that is related to your impairment. Enter the amount that is unrelated to your impairment on Schedule A (Form 1040), line 21, or Schedule A (Form 1040NR), line 9.
If you are self-employed, enter your impairment-related work expenses on the appropriate Form (Schedule C, C-EZ, E, or F) used to report your business income and expenses.taxmap/pubs/p529-003.htm#en_us_publink100027072
Deduct expenses of preparing tax schedules relating to profit or loss from business (Schedule C or C-EZ), rentals or royalties (Schedule E), or farm income and expenses (Schedule F) on the appropriate schedule. Deduct expenses of preparing the remainder of the return on Form 1040, Schedule A, line 22, or Form 1040NR, Schedule A, line 10.taxmap/pubs/p529-003.htm#en_us_publink100027073
Debra Smith is employed as a salesperson. She is not a statutory employee. Her adjusted gross income is $40,000, and she did not receive any reimbursement for her expenses. She has the following qualifying miscellaneous deductions:
| ||Entertainment expenses||$||500|| |
| ||Transportation expenses|| ||500|| |
| ||Home office expenses|| ||1,100|| |
| ||Tax return preparation|| ||200|| |
| ||Investment counseling|| ||300|| |
| ||Gambling losses (reported $200 as income)|| ||200|| |
Her filled-in Form 2106-EZ and part of her Schedule A (Form 1040) are shown. Of Debra's deductions, only gambling losses are not subject to the 2%-of-adjusted- gross-income limit. She enters the gambling losses on Schedule A, line 28. The other items are subject to the 2% limit and are shown on Schedule A, lines 21, 22, and 23.
Debra completes Form 2106-EZ, Part I. She enters the transportation expenses of $500 on line 2. The home office expenses of $1,100 are entered on line 4. The entertainment expenses of $500 are subject to the 50% limit and are entered on line 5. She then completes the rest of the form. The total expenses of $1,850, shown on line 6, are entered on Schedule A, line 21.
Debra's expenses for tax return preparation are entered on Schedule A, line 22. Her expenses for investment counseling are entered on line 23. She then totals the amounts on lines 21, 22, and 23 and enters this total of $2,350 on line 24. She enters $40,000, her adjusted gross income, on line 25. She multiplies this amount by 2% (.02) and enters the result of $800 on line 26. She subtracts the amount on line 26 from the amount on line 24 and enters $1,550, her allowable deduction, on line 27. taxmap/pubs/p529-003.htm#en_us_publink100027074