Welcome Guest. Register Now!  


Itemized Deductions Schedule-A


Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 04-02-2016, 12:33 PM
Junior Member
 
Join Date: Apr 2016
Posts: 2
Employer reimburses travel as taxable income

Hello,

I submit receipts for travel, food, etc. expenses to my employer when I go to conferences as part of my work. (The expenses and reimbursement do meet the requirements for an "accountable plan.") My employer reimburses those expenses via the payroll system (that is, the reimbursement shows up in my paycheck), and my employer reports this as taxable income. In other words, on my W-2, my total wages (line 1) include the reimbursements on top of my salary.

I assume that I can deduct this extra "income" so I don't have to pay taxes on it, but I am unsure how? I itemize my deductions using Schedule A, but I'm not sure where and how to enter this.

Thanks for any help you can provide!
nmc2001



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 04-02-2016, 03:15 PM
Moderator
 
Join Date: Oct 2010
Posts: 5,236
I submit receipts for travel, food, etc. expenses to my employer when I go to conferences as part of my work. (The expenses and reimbursement do meet the requirements for an "accountable plan.") My employer reimburses those expenses via the payroll system (that is, the reimbursement shows up in my paycheck), and my employer reports this as taxable income. In other words, on my W-2, my total wages (line 1) include the reimbursements on top of my salary.==>Instead of applying accountable plan your ER applied nonaccountable plan;so, expenses paid under a nonaccountable plan are income to you and must be included in wages with appropriate tax withholdings.and you may claim the expenses on your return.

I assume that I can deduct this extra "income" so I don't have to pay taxes on it, but I am unsure how?====>Correct;however, You must complete Form 2106 and itemize your deductions to deduct your expenses for travel, transportation, meals, or entertainment. Your meal and entertainment expenses will be subject to the 50% limit . Also, your total expenses will be subject to the 2%-of-AGI limit that applies to most miscellaneous itemized deductions

I itemize my deductions using Schedule A, but I'm not sure where and how to enter this.==>>basically you need to report all expenses that ypu spent in part1 of form 2106 and subtract the reimbursed amount on the form line 7 from line 6 and report the result in line 8and you also need to enter Meals and entertainment expenses in Column B.for line 9, you need to multiply your Meals and entertainment expenses by 50% or Multiply meal expenses incurred while away from home on business by 80% after this, you neeed to add the amounts on line 9 of both columns and you should enter the total on Sch A (Form 1040), line 21, so unless you itemize your deductions n your return you can not claim the expenses.



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
What is Taxable or Non-Taxable Income? Samatg Income 5 01-12-2019 03:48 AM
Employer reimburses travel as taxable income nmc2001 For 2015 0 04-02-2016 12:30 PM
Is employer paid mileage reimbursement taxable? scrltlttr1 Auto Expenses 1 02-11-2014 10:39 PM
Question about Travel expense and income tax coolpet C-Corporation 0 07-31-2010 05:58 PM
Would unemployment & disability income be taxable for NJ gross income tax purposes? TaxGuru New Jersey 0 10-03-2008 10:58 PM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning