The National Directory of Certified Public Accountants

Ask A CPA - Employee Business Expense

Tools

If you purchase your own small tools for use on your job and they are not reimbursed from your employer, you may deduct the cost as an itemized deduction subject to the 2 % limitation on Schedule A. If the tools have an expected useful life of more than one year, then the costs should be depreciated or the first year expense election may be taken.

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