The 2018 Tax Cuts and Jobs Act brought forth many changes that will affect a vast majority of tax payers. One of the biggest ones for some of our clients is the elimimation of the miscellaneous deduction which exceed 2% on Schedule A for the tax years of 2018 to 2025. Through 2017 many W2 employees have deducted unrembursed expenses likes tools, supplies, dues, required unifirms and even job search expenses. Beginning with 2018, these miscellaneous deductions as well as unreimbursed travel and milage and teh employee home office deduction are no longer deductible.
Note: Schedule C business owners still get to deduct their business-related deductions. This deduction elimination only affects the Schedule A deductions.