Forex

You can deduct certain miscellaneous job expenses, such as employee travel and entertainment expenses, union dues, work uniform expenses, legal expenses, tax preparation expenses, and educational expenses. However, the aggregate of these expenses must exceed 2 percent of you adjusted gross income to be eligible for the deduction. (Adjusted Gross Income is Line 35 on your 1040). Thus, to claim the deduction, if say, you earned $40,000, then your job-related expenses must exceed $800.

Further, job related costs for computer and cell phones are only deductible as miscellaneous job expenses if the computer or cell phone are used for the convenience of your employer.

Unreimbursed employee travel expenses are also deductible, but still are subject to the 2 percent of your adjusted gross income limit. Moreover, only 50 percent of meals count toward the deduction – and for the meal deduction to count, you must have been on business at least overnight. All travel/entertainment/meal expenses must also be backed by adequate records (a diary or receipts).