Question

I have a question about a business phone tax deduction. My job requires that I have a cell phone. Would I qualify for a business cell phone deduction on my tax return?

Answer

To claim a business phone tax deduction you will need to determine the portion of the phone bill that relates to your business. To qualify for a business cell phone deduction both of these apply:

  • The cell phone plan is for the convenience of your employer.
  • The cell phone is a condition of your employment.

You can deduct charges for extra services beyond the base bill if they’re job-related expenses. You should keep records that show:

  • Amount of employee business expense
  • Time and place you incurred the expense
  • Business purpose of the expense

You can also take a depreciation deduction for the business-use portion of the cost of the cell phone.

Related Topics

Related Resources

Goodwill Donation Values

If you donate items to Goodwill, how should you calculate your donation value? Learn more from the tax experts at H&R Block.

Are The EIC And Child Tax Credit The Same?

Is the child tax credit the same as the EIC? Learn more from the tax experts at H&R Block.

Deduct Taxes On Used Car

Learn whether you can deduct sales tax on the purchase of a used car with help from the tax experts at H&R Block.

What Is the Joint Return Test?

Trying to determine if you can be claimed as a dependent? Learn more about the joint return and dependent taxpayer tests with the experts at H&R Block.