Occupation Brochures

• Posted on May 8, 2008

Virtually all taxpayers incur deductible expenses related to their occupations.  Although certain expenses may be deductible to a variety of occupations, most occupations will have a combination of expenses that are unique to that occupation alone.  The following is information pertaining to deductible expenses as they apply to a variety of occupations.  This includes both text discussions of key expenses and a deduction organizer for each occupation.  Both the text discussions and the organizers are in pdf format for viewing and printing.

Tax Deductions for Educators

• Posted on May 4, 2008

Professional Fees and Dues:
Dues paid to professional societies related to your educational profession are deductible. These could include professional organizations, business leagues, trade associations, chambers of commerce, boards of trade and civic organizations. However, dues paid for memberships in clubs organized for business, pleasure, recreation or other social purpose are not deductible. These could include country clubs, golf and athletic clubs, airline clubs, hotel clubs and luncheon clubs.
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Tax Deductions for FireFighters

• Posted on May 4, 2008

Professional Fees and Dues:
Dues paid to professional societies related to your occupation as a firefighter are deductible. However, the costs of initial admission fees paid for membership in certain organizations or social clubs are considered capital expenses.
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Tax Deductions for Peace Officers

• Posted on May 4, 2008

Professional Fees and Dues:
Dues paid to professional societies related to your occupation are deductible. However, the costs of initial admission fees paid for membership in certain organizations or social clubs are considered capital expenses.
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Tax Deductions for Business Professionals

• Posted on May 5, 2008

Professional Fees and Dues:
Dues paid to professional societies related to your profession are deductible. However, the cost of initial admission fees paid for membership in certain organizations or social clubs are considered capital expenses.
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Tax Deductions for Medical Professionals

• Posted on May 5, 2008

Supplies & Expenses:
Generally, to be deductible, items must be ordinary and necessary to your medical profession and not reimbursable by your employer. Record separately from other supplies the cost of business assets that are expected to last longer than one year and cost more than $100. Normally, the cost of such assets are recovered differently on your tax return than are other recurring, everyday business expenses such as business cards or medical supplies.
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Tax Deductions for Realtors

• Posted on May 5, 2008

Auto Travel:
Your auto expense is based on the number of qualified business miles you drive. Expenses for travel between business locations or daily transportation expenses between your residence and temporary work locations are deductible; include them as business miles. Expenses for your trips between home and work each day, or between home and one or more regular places of work, are COMMUTING expenses and are NOT deductible.
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Tax Deductions for Sales Representatives

• Posted on May 5, 2008

Auto Travel:
Your auto expense is based on the number of qualified business miles you drive. Expenses for travel between business locations or daily transportation expenses between your residence and temporary work locations are deductible; include them as business miles. Expenses for your trips between home and work each day, or between home and one or more regular places of work, are COMMUTING expenses and are NOT deductible.
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Tax Deductions for Clergy

• Posted on May 5, 2008

Parsonage Allowance:
Many members of the clergy are paid a cash “housing allowance,” which they use to pay the expenses related to their homes (e.g. interest, real property taxes, utilities, etc.). Alternatively, some may live in a parsonage owned by the church. Neither a cash allowance (to the extent it is used to pay for home expenses) nor the estimated rental value of the parsonage is included in income for the purpose of computing your income tax. However, those amounts ARE INCLUDED in your income for the purpose of computing your self-employment (Social Security) tax, if any. Use this section to record your home expenses and the total annual amount of housing allowance or parsonage value you receive. Because of IRS regulations, it is very important that the governing body of your church designate the portion of your salary that is your housing allowance. NOTE: If you have made an election for exemption from self-employment taxes, other rules may apply. In such case, consult with your tax advisor.
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Tax Deductions for Day Care Providers

• Posted on May 5, 2008

Auto Travel:
Your auto expenses are based on the number of qualified business miles you drive. Auto expenses for you as a day care provider could include your transportation:

• to and from a class taken to enhance your day care skills;
• on field trips with those for whom you are providing care;
• for errands related to day care business (e.g. going to the bank to make a deposit of day care receipts);
• to the store to shop for day care supplies; or
• when chauffeuring day care attendees.

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Tax Deductions for Overnight Drivers

• Posted on May 5, 2008

Out-of-Town Travel:
Expenses accrued when traveling away from “home” overnight for job related reasons are deductible. Your “home” is generally considered to be the entire city or general area where your principal place of employment is located. Out-of-town expenses include transportation, meals, lodging, tips and miscellaneous items like laundry, valet etc.
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Tax Deductions for Entertainers

• Posted on May 5, 2008

Continuing Education:
Educational expenses are deductible under either of two conditions: (1) your employer requires the education in order for you to keep your job or rate of pay; or (2) the education maintains or improves your skills in the entertainment profession. The costs of courses that are taken to meet the minimum requirements of a job, or that qualify you for a new trade or business, are NOT deductible.
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Tax Deductions for Waiters & Waitresses

• Posted on May 5, 2008

Keeping A Good Tip Record:

If you are a waiter or waitress, the IRS requires you to keep a record of your tips. The record needs to include tips you receive from:

• your customers in cash;
• other tipped employees because of a "tip-sharing" arrangement; and
• your customers who pay by credit card.

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Tax Deductions for Airline Flight Crew Personnel

• Posted on May 5, 2008

Professional Fees & Dues:
Dues paid to professional societies related to your occupation are deductible. However, the costs of initial admission fees paid for membership in certain organizations or social clubs are considered capital expenses.
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Tax Deductions for Telecommuting Employees

• Posted on May 5, 2008

Equipment Purchases:
Record separately from other supplies the costs of business assets that are expected to last longer than one year and cost more than $100. Normally, the costs of such assets are recovered differently on your tax return than are other recurring, everyday business expenses like business cards, office supplies etc.
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