|
IRS |
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|
Automobile Expenses |
917 |
The portion of automobile expenses incurred while
driving between two different workplaces, or between
your principal residence and a temporary job site.
You can base the deduction on actual expenses
incurred or on the standard mileage rate of $.51
through June, 2011, increasing to $.555 per mile for
the second half of 2011, up from $.50 per mile in
2010. |
The portion of automobile expenses incurred while
commuting between your principal residence and a
regular place of business. |
Beepers and pagers |
529 |
The rental fees paid by you for beepers and pagers
used in connection with your employment.
|
Any costs associated with the personal use of these
items. |
Books/library |
534 |
The cost of reference books purchased during the
year. You can also depreciate your "library" the
first year you put it into business use, based on the
fair market value of the library on that date.
|
Any books not related to your profession
|
Cellular phones & internet access
|
534 |
The business portion of the cost of the cellular
phone can be written off. Plus, you can deduct the
business use portion of the monthly cellular phone
bills and internet access fees. |
Any portion of the cost of the cellular phone and the
monthly cellular phone bills and internet access fees
relating to personal use. |
Computer purchases |
534 |
Depreciation on the business use percent of any
computer or peripheral purchased (1) as a requirement
of your employment and (2) for the convenience of
your employer. |
Any computer and peripheral not specifically
purchased as a requirement of employment or for the
benefit of your employer. |
Education, examinations and licenses
|
508 |
Expenses incurred that are required as part of your
employment and maintain or improve your skills in
your current profession. |
Expenses incurred that prepare or qualify you for a
new trade or business, such as medical or dental
school. |
Equipment and instruments |
534 |
Depreciation expense on any items purchased during
the year, or based on the fair market value of
equipment and instruments purchased in previous years
but put into business use this year.
|
Equipment and instruments not associated with your
profession. |
Home office |
587 |
The percentage of your home (based on square footage)
used regularly and exclusively in connection with
your profession. Great for renters since rent isn't
otherwise deductible on your federal tax return.
|
The portion of your home used for any non-business
purpose during the year, even if just for one day.
|
Insurance |
529 |
Malpractice insurance and insurance on business
assets. |
Health, life and disability insurance. Health
insurance is deductible as an "adjustment to income"
if you have net self-employment income.
|
Interest on School Loans |
535 |
Up to $2,500 of student loan interest paid during the
year, subject to income limitations, is deductible as
an "adjustment to income". |
Interest on school loans in excess of $2,500 per
year. |
Job search |
529 |
Expenses associated with finding a new position in
your current trade or business. |
Any expenses associated with finding your first job,
or a job in a new trade or business.
|
Meals &
entertainment |
463 |
50% of the cost of a meal when there is a specific
business purpose in connection with the meal, or
while temporarily traveling on business.
|
Personal meals, including meals while on call at a
hospital located in the general vicinity of where you
live. |
Parking and tolls |
463 |
Parking and tolls incurred in connection with
traveling between two different workplaces or between
your principal residence and a temporary job site.
|
Parking and tolls incurred in connection with
commuting between your principal residence and a
regular place of business. |
Professional dues, journals and subscriptions
|
535 |
Fees paid to join professional organizations or to
subscribe to their journals. |
Dues paid to social or athletic clubs.
|
Psychoanalysis |
n/a |
A licensed psychiatrist or psychologist who is
undergoing psychoanalysis as a required part of
training in that field. |
Any other licensed professional must claim costs
associated with psychoanalysis as a medical
deduction. |
Supplies |
535 |
Supplies, such as slides for presentations, that are
required in connection with your employment.
|
Supplies that don't fall within the definition of
"ordinary" and "necessary" for a professional in your
field. |
Temporary job assignments |
463 |
The travel, lodging, and 50% of the cost of the meals
incurred during a job rotation outside the general
vicinity of where you live. The rotation must be for
a specific period of less than one year, and you must
intend to return to the city that you were living in
prior to the rotation. |
Any expense associated with a job rotation outside
the general vicinity of where you live that will last
for more than a year, or for an unspecified length of
time. |
Travel & lodging |
463 |
Travel and lodging expenses incurred while outside
the general vicinity of your residence in connection
with a deductible activity. |
Travel and lodging incurred when the primary purpose
of the trip is not business related.
|
Uniforms and cleaning |
529 |
The cost of purchasing and cleaning clothing, such as
lab coats and scrubs, required by your employer that
isn't considered "everyday street clothing".
|
Items such as suits, shirts, shoes, ties and
wristwatches because they fit the description of
"everyday street clothing". |
IRS Pub indicates the IRS Publication that contains
information on this topic. You can access the IRS Pubs at
www.irs.gov.