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Tax Question- A friend is mechanic at a dealership & must supply his own tools. Can he write them off????
The dealership is in the United States. It is not an business that he owns.
7 Answers
- 1 decade agoFavorite Answer
"Of course" assumes alot! Your friend can write of his "Un-reimbused Employee Expenses" by using both the Form 2106 and the Schedule A and attaching them to his 1040 but.......1.) the amount of expenses he can deduct are only that amount EXCEEDING %2 of his income and, 2.) the total itemized deductions must EXCEED his standard deduction before it will make sense to do this. Yes, Virginia, there is a place in this world for professional tax preparers (as well as professional auto mechanics)!
- nova_queen_28Lv 71 decade ago
The mechanic can claim the cost of tools that are purchased each year.
however, because the deduction is an unreimbursed employee expense, it goes on the schedule A form, which means your mechanic-friend must be eligible to itemize his/her taxes in order for there to be any real benefit.
- kateLv 71 decade ago
Yes, I worked in the trades for years and we had to buy our own tools, even at the last hospital where I worked for a decade. The deduction is in the same section where you list employment costs including union dues.
Schedule A - line 20 ( note: there is a 2% AGI floor)
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- 1 decade ago
Of course. This assumes new tool purchases. If he owns his tools from prior years, they are probably depreciated to a point where he can no longer claim them.
- Anonymous1 decade ago
of course he can!