Cell phone write off ?

Long story short, Nope. They stopped that in 2010. It's not a condition of your employment. Unless you have $5800 worth of deductions, you will be using the standard deduction instead of itemizing on Schedule A and Form 2106.

 

Actually you can deduct a portion of your cell phone bill. The portion used for business calls is and always will be a legitimate deduction.

The only way to take this deduction though is to itemize. If you are an OTR driver you should be able to deduct per diem as well as mortgage interest on your home and medical costs above the 7.5% AGI floor.

The formulae I use for itemizing my cell phone (which I use primarily for business calls contacting shippers, receivers, brokers, and dispatch), is 50% of the yearly cost.

Just remember the key to itemizing deductions is SUBSTANTIATION. This means some kind of receipt or proof. Cell phone bills will suffice to prove you were calling customers.

Hire a reputable tax preparer that specializes in truck driver tax returns and you should be well represented. The 3 most popular ones that advertise on Sirius satellite radio are John Turner, Esta Klatzkin, and ATBS.

Here is a link from the IRS that will help you verify what I have posted;

http://www.irs.gov/pub/irs-pdf/p529.pdf

Specifically refer to the following paragraph;

Unreimbursed Employee Expenses ​

Generally, the following expenses are deducted on Schedule A (Form 1040), line 21, or Schedule A (Form 1040NR), line 7. You can deduct only unreimbursed employee expenses that are:
· Paid or incurred during your tax year,
· For carrying on your trade or business of being an employee,

· Ordinary and necessary. ​

An expense is ordinary if it is common and accepted in your trade, business, or profession. An expense is necessary if it is appropriate and helpful to your business. "AN EXPENSE DOES NOT HAVE TO BE REQUIRED TO BE NECESSARY.
The key is the final sentence I have capitalized.

 

total calls - personal = business calls.

divide business calls by total calls to get % of business calls to total calls.

multiply total bill by % of business calls = what you can claim

If you can do spreadsheets, then then is simply enough to do... just plug in total calls/personal calls/total bill and the rest is figured out automatically.

Mark

 

Cell phone is even easier than that. The IRS allows 75% of the cell phone bill as a business expense. This applies to schedule C filers

 

Sorry, I was half asleep when I answered this. The bill of service is deductible, but the cost of a phone is not. Ain't that what he asked? He's a new driver. He'll be going standard deduction anyways.

It's in Publication 529, page 3, bottom right. This is for form 2106 Miscellaneous Deductions which you attach to form schedule A. I don't keep up with owner operators and schedule C. RoadMedic is good at that stuff.

Hard to copy split page pdf...

Also residential line used for business has been removed, first phone, no, second phone, yes... page 16​

 

With most phones being more an electronic all round device that picks up email and internet I'd just write off the max I can claim. That includes the entire cost of the aircard since that's the only reason I have it.

 

I was wondering about that too. Because computer depreciation is still allowed and some phones are more like computers anymore.

That little comment "and similar telecommunication devices" pretty much covers it. I'm sure there will be more changes in the near future. There are more phones than there are people now. The gooberment ain't gonna give up on that money.

 

I claimed my Aircard also, since that is what I used when on the road along with my Sirsus radio monthly fees.

As a new driver he is still can claim Per Diem of $59 a day while out and this will allow him to go Sch A.

Mark

 

i deduct the cell phone used exclusively in the truck, my printer , scanner, the ink and paper, my air card. my phone also has internet and is used to search for loads on the net.

i also deduct any coolers, cb equip, cleaning supplies for truck , my jeans i use on truck, my carhart jacket used on truck and the boots i buy for use on the truck.

a lot also depends on if you are owner -op and filing schedule c also.

i have deducted the cost of my smartphone also.