STYLETHREAD -- LET'S TALK SHOP!

You need to have every receipt for write offs in case of getting audited.  If you don't have receipts your life will be a living hell.

If your clothing can be worn elsewhere besides work you cannot write it off.  Things you can write off would be a mechanics jumpsuit since you would not wear it elsewhere or steel toed boots.  A designer shirt you could potentially wear on the weekends hanging out or going to dinner would not qualify.  What the designers are doing is in a very gray area - I would not do it.

Metro card - I'm thinking you can deduct it but I"m not 100% sure.  If you only used it for work and they didn't reimburse you I think you can.  I would search the IRS website first before deducting it.

While the IRS cannot audit everyone they do audit a good number each year (and its increasing) and it can range anywhere from a letter you have to respond to which usually ends there to an IRS auditor coming out to your house and requesting documents and auditing everything for weeks.  It is not something fun or enjoyable.  A friend of my parents were audited a couple of years ago because they owned their own business and someone they contracted with got audited so it flowed down to them.  The IRS also uses programs which flag people so if you have never deducted things before and all the sudden have rather large or unusual deductions you might get flagged.

I don't know if this will help, but when I used to sell real estate, my accountant had me save my receipts from dry cleaning my suits and my gas receipts from driving around showing houses. She used to use those, but she couldn't write off the actual clothing purchases. Hope that helps a little!

Sibeski wrote:

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Do any of the Mom's on here know anything about childcare?  Is it deductible in any way?  I should ask that on MamaStyle......

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It's deductible but the child care place has to have a tax ID number.  They should give you a statement with that information and the amount paid.  It's only deductible up to a certain amount, and if I remember correctly, the amount of the deduction is based on AGI.....the less you make, the bigger the deduction. 

per the IRS:

You can deduct only unreimbursed employee expenses that are:

1. Paid or incurred during your tax year,

2. For carrying on your trade or business of being an employee, and

3. Ordinary and necessary.

An expense is ordinary if it is common and accepted in your trade, business, or profession. An expense is necessary if it is appropriate and helpful to your business. An expense does not have to be required to be considered necessary.

You may be able to deduct the following items as unreimbursed employee expenses.

• Business bad debt of an employee.

• Business liability insurance premiums.

• Damages paid to a former employer for breach of an employment contract.

• Depreciation on a computer or cell phone your employer requires you to use in your work.

• Dues to a chamber of commerce if membership helps you do your job.

• Dues to professional societies.

• Home office or part of your home used regularly and exclusively in your work.

• Job search expenses in your present occupation.

• Laboratory breakage fees.

• Legal fees related to your job.

• Licenses and regulatory fees.

• Malpractice insurance premiums.

• Medical examinations required by an employer.

• Occupational taxes.

• Passport for a business trip.

• Repayment of an income aid payment received under an employer's plan.

• Research expenses of a college professor.

• Rural mail carriers' vehicle expenses.

• Subscriptions to professional journals and trade magazines related to your work.

• Tools and supplies used in your work.

• Travel, transportation, entertainment, and gift expenses related to your work.

• Union dues and expenses.

• Work clothes and uniforms if required and not suitable for everyday use.

• Work-related education.

My knowledge of the above:  Not suitable for everyday use would be your uniform type articles, safety shoes, hats, goggles.  Anything that you could reasonably wear outside of work (whether you would or not) be it a designer dress, dress pants, dress pumps, jeans, business suits, business casual work clothes, etc would not be deductible.

You cannot deduct the following expenses.

• Adoption expenses.

• Broker's commissions that you paid in connection with your IRA or other investment property.

• Burial or funeral expenses, including the cost of a cemetery lot.

• Campaign expenses.

• Capital expenses.

• Check-writing fees.

• Club dues.

• Commuting expenses.

• Fees and licenses, such as car licenses, marriage licenses, and dog tags.

• Fines and penalties, such as parking tickets.

• Health spa expenses.

• Hobby losses—but see Hobby expenses, earlier.

• Home repairs, insurance, and rent.

• Home security system.

• Illegal bribes and kickbacks—see Bribes and kickbacks in chapter 11 of Publication 535.

• Investment-related seminars.

• Life insurance premiums.

• Lobbying expenses.

• Losses from the sale of your home, furniture, personal car, etc.

• Lost or misplaced cash or property.

• Lunches with co-workers.

• Meals while working late.

• Medical expenses as business expenses.

• Personal disability insurance premiums.

• Personal legal expenses.

• Personal, living, or family expenses.

• Political contributions.

• Professional accreditation fees.

• Professional reputation, expenses to improve.

• Relief fund contributions.

• Residential telephone line.

• Stockholders' meeting, expenses of attending.

• Tax-exempt income, expenses of earning or collecting.

• The value of wages never received or lost vacation time.

• Travel expenses for another individual.

• Voluntary unemployment benefit fund contributions.

• Wristwatches.

Aurora wrote:

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Sibeski wrote:

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I thought to write off "work" clothes you had to spend a certain amount of $$?  No? 

That is why hubby and I are getting an accountant.  We bought a vineyard in 2006, a nice little dream of ours and I have NO idea on how to do taxes on farming!!!  Do any of the Mom's on here know anything about childcare?  Is it deductible in any way?  I should ask that on MamaStyle......

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Just ensure that when you hire an accountant you hire a reputable.  Just because they have a CPA does not mean they understand the Tax Laws or that they are ethical.  Just my little warning there.

Ok childcare - it is deductible if both spouses (or if it is a single parent) works.  You cannot take the credit if one parent is a stay at home.  The AGI part is right too - there is a phase out but I don't know it.

 here is the irs page on the child care credit.  It should answer your questions.  http://www.irs.gov/taxtopics/tc602.html

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We are going to use the firm that takes care of the company hubby works for -and hopefully expense it to em' too   heehee j/k.

Seriously though, thanks for your help Aurora - maybe we all need to pitch in and keep you on as th ST tax advisor

since it seems people are adding random questions here... what about this one: I was on travel for work for about 2 months. they provided me housing (at a volunteer's house, not a hot or an apartment or anything like that). That was it. No meals or living stipens. Can I deduct anything for meals or anythng like that? I didn't have access to a kitchen, so it was pretty expensive. Plus, I still had to pay rent back home. I'm thinking no, but figured I'd ask.

I do plan on claiming relocation expenses, but i found a pretty simple looking form for that. 

Aurora wrote:

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ILoveChoo wrote:

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since it seems people are adding random questions here... what about this one: I was on travel for work for about 2 months. they provided me housing (at a volunteer's house, not a hot or an apartment or anything like that). That was it. No meals or living stipens. Can I deduct anything for meals or anythng like that? I didn't have access to a kitchen, so it was pretty expensive. Plus, I still had to pay rent back home. I'm thinking no, but figured I'd ask.

I do plan on claiming relocation expenses, but i found a pretty simple looking form for that.

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Ok it took me a bit but I think I found your answer. You can deduct it but you have to have receipts for the meals. You have to deduct it below the line (meaning you have to itemize) and you have to figure out if its more than 2% of your AGI and possibly subtract something out. Anyways. Point is you can deduct meals but its tricky and might not be worth it. As far as living arrangements I don't think those count...

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