Can I Claim Write Off's for Work Expenses as a W-2 Sales Employee?

Unfortunately, the Tax Cuts and Jobs Act of 2017 eliminated most unreimbursed employee business expense deductions for W-2 employees. Prior to 2018, you could deduct these expenses as itemized deductions on Schedule A, but that's no longer an option for federal taxes. Your best bet would be to ask your employer about reimbursement. Many companies have expense reimbursement programs or allowances for exactly these kinds of work-related costs. Some options to consider: - Request a mileage reimbursement program from your employer (the standard IRS rate for 2023 is 65.5 cents per mile) - Ask about a technology stipend or direct reimbursement for your tablet - See if your company offers a car allowance for sales positions Also worth noting - a few states still allow these deductions on state income tax returns even though they're not deductible federally. For example, California still permits unreimbursed employee expense deductions.

I was in a similar situation last year with my sales job and found that taxr.ai was incredibly helpful for figuring out what I could still claim. I had been keeping all my receipts thinking I could deduct everything, and was pretty disappointed when my regular tax software said I couldn't. I uploaded all my documents to https://taxr.ai and they analyzed everything, including my employment contract and reimbursement policy. They found that some of my expenses actually qualified under categories I hadn't considered, and they helped me properly document everything for my employer to reimburse more of my costs. They also identified some state-specific deductions I could still take that my regular tax software missed. The document analysis was really thorough - they even spotted language in my employment contract that supported getting additional reimbursements from my company.

Just wanted to update after trying taxr.ai based on the recommendation here. Wow, this was exactly what I needed! I uploaded my employment contract, expense reports, and receipts, and they identified that my medical sales position actually qualified for different treatment than standard W-2 employees. They found specific language in my contract that classified some of my activities as independent contractor work (even though I'm W-2 for most purposes), which opened up several deduction opportunities. They also pointed out that my employer's reimbursement policy had gaps I could address. I was able to take their analysis to my manager and got an additional $4,200 in reimbursements approved that weren't initially covered by our standard policy. For the remaining expenses, they helped me document everything properly for tax filing. Definitely worth it for anyone in sales with significant unreimbursed expenses!

Another option you might consider is using Claimyr to speak directly with an IRS representative about your specific situation. I was confused about similar write-off questions last year and spent DAYS trying to get through to the IRS phone lines without success. Finally tried https://claimyr.com after seeing their demo video at https://youtu.be/_kiP6q8DX5c and they actually got me connected to an IRS agent in about 15 minutes. The agent walked me through exactly what I could and couldn't deduct as a W-2 employee, and also explained some specific exceptions that might apply to my situation. It saved me so much hassle compared to trying to interpret all the tax code myself or trusting random internet advice. The IRS agent even sent me specific documentation that I could reference if my return was ever questioned.

Just coming back to say I was completely wrong about Claimyr. After posting my skeptical comment, I decided to try it myself since I had some complex questions about home office deductions for my part-time consulting work (alongside my W-2 job). I was connected to an IRS agent in about 20 minutes, which was shocking after my previous attempts where I couldn't get through at all. The agent was super helpful and explained exactly how the home office deduction works when you have both W-2 and self-employment income. She also pointed me to some specific forms and publications I needed, and even stayed on the line while I looked up some information to make sure I understood everything correctly. For anyone with tax questions that require talking to a real person at the IRS, this service is absolutely worth it. Sorry for doubting!

Just a heads up - if your company classifies you as a "statutory employee" (check box 13 on your W-2), the rules are different and you CAN deduct business expenses! I'm in outside sales too and discovered this last year. As a statutory employee, you file a Schedule C with your expenses just like a business owner would, even though you're technically a W-2 employee. This lets you deduct mileage, supplies, and other business expenses directly against your income. Certain types of drivers, traveling salespeople, and insurance agents often qualify. Worth checking your W-2 or asking your HR department!

Nobody mentioned keeping a mileage log, which is SUPER important if you're claiming any vehicle expenses (either through reimbursement or deduction if you qualify). The IRS is really strict about this. I use MileIQ app to track all my drives automatically, then just swipe left for personal trips and right for business. It creates IRS-compliant logs with timestamps, routes, and purpose of trips. Saved my butt during a review last year when they questioned my vehicle deductions for my side business. Even if you can't deduct expenses as a W-2 employee, a detailed mileage log will help if you're requesting reimbursement from your employer or if tax laws change in the future.

I'm a tax professional and want to clarify a few important points that came up in this discussion: First, @Dallas Villalobos is correct that the TCJA eliminated most unreimbursed employee expense deductions for regular W-2 employees. However, there are still some strategies worth exploring: 1. **Above-the-line deductions still exist** - If you're required to travel overnight for work and your employer doesn't reimburse you, those expenses may still be deductible in limited circumstances. 2. **State variations matter** - Several states (California, Pennsylvania, New York, etc.) still allow these deductions on state returns even though they're eliminated federally. 3. **Accountable plan vs non-accountable plan** - If your employer has an "accountable plan" for reimbursements (requires receipts, business purpose documentation), those reimbursements aren't taxable to you. Push for this if they don't have one. For your specific situation with 13,500 miles of driving, I'd strongly recommend negotiating a proper mileage reimbursement at the current IRS rate (67 cents per mile for 2024). That would be worth about $9,045 tax-free to you. Keep detailed records regardless - tax laws can change, and good documentation helps with employer reimbursement requests. The tablet purchase might be reimbursable if it's required for your job duties. Consider consulting with a local tax professional who can review your specific employment agreement and state tax situation.