Back in 2017, before the tax overhaul, you were able to deduct unreimbursed employee costs, tax preparation fees, investment expenses and more — as long as they exceeded 2 percent of your adjusted gross income.
Under the new tax code, these breaks are out of the picture as of 2018.
Can I deduct unreimbursed business expenses in 2018?
Deductions for unreimbursed employee expenses.
Workers who made unreimbursed purchases related to their job were able to deduct any amount that exceeded 2 percent of their adjusted gross income in 2017. However, taxpayers won’t see that deduction available on their 2018 tax return.
What can I deduct on my taxes 2018?
Although many itemized deductions have been suspended going into the 2018 tax year, the standard deduction has increased. It’s now $24,000 for married couples filing jointly and for qualified widows and widowers. For single filers and married couples filing separately, the deduction is now $12,000.
What business expenses can I write off?
The most common fully deductible business expenses include:
- Accounting fees.
- Bank charges.
- Commissions and sales expenses.
- Consultation expenses.
- Continuing professional education expenses.
- Contract labor costs.
- Credit and collection fees.
Are legal fees tax deductible in 2018?
However, new law changes impact deductibility of certain personal legal fees. Attorney’s fees that have been deductible (for 2017 and earlier years) as a miscellaneous itemized deduction subject to the 2%-of-AGI floor will no longer be deductible at all starting in 2018.