Great Work Boots Are Great For Safety – But Are They Tax Deductible?
A person may be able to obtain tax deductions for various items, depending on the particular circumstances and thus be able to pay less in income taxes than he or she would otherwise – but the only problem is that the average joe rarely knows what constitutes and allowable deduction, and what doesn’t.
This article is devoted entirely to tax deductions on work boots.
As with other expenses, the tax deductibility of work boots depends on whether they are a business expense (which they are: 99% of the time) If you need them in order to perform your job, but your employer does not pay for them, and you have enough deductions to itemise (see next section), then you can deduct the amount that you paid for the work boots.
Itemizing tax deductions
Itemizing your tax deductions is often a viable alternative to going with the method used for the standard number, which various with the jurisdiction; there is one in which the standard is 7,500 per year.
If you’re a contract worker who is not paid W-2 (wage and tax statement) wages but still receives a Form 1099 (the kind used to report income excluding wages, salaries and tips) at the end of each year, then you may report the price of your boots and other tools on Schedule C — the form used by sole proprietors to report revenue and expenses related to the operations of their businesses — along with the amount that you have reported on your 1099 form.
What portion of business expenses qualify for deductions?
Employee business expenses are subject to two percent of that person’s adjusted gross income.
You should therefore calculate:
(1) that portion of the income that you earn and;
(2) your total expenses. If the latter exceeds the former, then you qualify.
Finding the information that you need
You may need to have a professional help in deciding whether you can get tax deductions for your pair of work boots, from either a tax preparer, such as H & R Block, or an accountant. Gather together the receipts for all of the items that you bought for work purposes and consult with the professional you have chosen for the purpose.
For work purposes only
In order for a tool, a piece of equipment or an article of clothing to be eligible for a tax deduction, it should not be used for any purpose other than your job. Therefore, make sure that you do not wear them at home or when commuting between home and work. To ensure that such is the case, keep them in a locker or some other area in your workplace.
A side note to this is cross-use items, which you will use for work, but that you can also use outside of work. A good example is a pair of cold weather work boots as they may serve 2 purposes: work, and walking through snow when not at work. The rules can be bent here a little.
Getting the best
Since they ARE a tax deduction, why not invest in the best steel toe boots that you can find? Your health and well-being is worth the investment. Find a pair that is durable enough to protect your feet from the kinds of injuries that are most likely to occur on the particular job for which you have purchased them.
You only earn so much money each year, and the more you pay in income taxes, the less you have for yourself, so take advantage of any deductions for which you qualify – after all, you should not be cutting corners or taking any risks when it comes to your health, do claim those work boots, and buy the best pair that you can find.