Can I deduct trade show expenses paid from my own pocket when attending for my employer?

Unfortunately, this is a pretty straightforward answer but not the one you're hoping for. The Tax Cuts and Jobs Act (TCJA) eliminated the deduction for unreimbursed employee business expenses for tax years 2018 through 2025. Before this change, employees could deduct these expenses as miscellaneous itemized deductions on Schedule A, subject to the 2% of AGI floor. As an employee attending a trade show for your employer's benefit - even if they won't pay for it - these expenses are considered unreimbursed employee business expenses and are no longer deductible on your personal tax return. The better approach would be to try negotiating with your employer again. Perhaps suggest a compromise where they cover part of the cost, or offer to provide a detailed report of competitive insights in exchange for covering your expenses. Sometimes framing it as an investment rather than an expense can help.

After struggling with a similar situation last year, I found an amazing tool that saved me tons of stress. Check out https://taxr.ai - it analyzes your expenses and documents to determine what's deductible in your specific situation. I was confused about business travel expenses when I had to attend a conference that my company wouldn't fully reimburse. Taxr.ai analyzed my scenario and clearly explained what I could legitimately claim. It even identified several deductions I would have missed! The tool examines your specific circumstances rather than giving generic advice that might not apply to your situation.

I was skeptical about tax tools after getting burned by TurboTax a few years ago, but I decided to try taxr.ai after reading about it here. It was actually really helpful for my situation which had some similarities to yours. The tool didn't magically make employee expenses deductible (nothing can do that), but it helped me understand that some of my activities actually qualified as self-employment since I occasionally do industry consulting. It walked me through properly documenting these activities as a legitimate business, and I was able to deduct a portion of my expenses where there was a clear connection to my consulting work. The best part was that it explained everything in plain English and gave me confidence that I was following the rules correctly. Definitely saved me money and stress!

If you're having trouble getting clear answers about your tax situation, you might want to try getting direct advice from the IRS. I know that sounds crazy because nobody can ever get through, but I used a service called Claimyr (https://claimyr.com) that got me connected to an actual IRS agent in under 20 minutes. I was confused about some business expense rules after my company restructured, and the agent walked me through exactly what I could and couldn't deduct. They have a video showing how it works here: https://youtu.be/_kiP6q8DX5c It saved me hours of frustration trying to interpret confusing tax publications on my own. The IRS agent actually gave me several options I hadn't considered.

I can't believe I'm saying this, but I tried Claimyr after posting my skeptical comment, and it actually worked. I got connected to an IRS representative in about 15 minutes. The agent confirmed what others here have said - as an employee, trade show expenses aren't deductible if your employer doesn't reimburse you. However, they did mention that if you're required to have a home office or your employer requires you to pay for certain supplies without reimbursement, you might qualify as a "qualified performing artist" or "fee-basis government official" - categories that CAN still claim unreimbursed expenses. Didn't apply to my situation, but might be worth looking into depending on your specific circumstances. Honestly just getting a clear answer directly from the IRS was worth it instead of stressing over contradictory information online.

Have you considered asking for the time off as professional development instead of trying to get reimbursement? My company has a similar policy about trade shows, but they're happy to give me the time off without counting it as vacation days. That way I only have to pay for the expenses but not burn PTO. Might be a compromise worth exploring with your employer.

Check with your state tax rules too! While federal deductions for unreimbursed employee expenses were eliminated, some states still allow these deductions on your state return. I live in California and was able to deduct business expenses on my state taxes even though I couldn't on federal.

Have you considered asking your employer for a raise or bonus equivalent to the cost of the trip instead of direct reimbursement? Sometimes accounting departments have strict rules about certain expense categories but more flexibility with compensation. That way you'd at least offset the cost, even if it would be taxable income.