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We get a clothing allowance at work. We have always got it in the form of a check because it is considered to be taxable income to us. This year we are told by our employer we are to charge the items on a company credit card. Is this legal? Is it sox co


ANSWER


The BIDaWIZ Team's Answer:

Yes: this is still acceptable. If the employer deducts the expense, as

a de minimis fringe benefit, it is not taxable income, to you. If they report it as

compensation, to you, you can claim the deduction, on Form 2106, as an

un-reimbursed business expense, if the clothes qualify as a uniform expense.

The BIDaWIZ Team

 

 

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