Miscellaneous deductions such as employee business expenses and education costs incurred to improve your job skills are deductible only in excess of 2 percent of your adjusted gross income (AGI). If your AGI this year is $60,000, for example, your threshold for deducting miscellaneous expenses is $1,200. If these expenses total $1,500, you get a $300 writeoff.
Investment expenses also fall into this category. By keeping careful track you may find that these outlays will help you clear the 2 percent floor and deduct some expenses Investment expenses include:
- The costs of books and magazines you buy for investment advice.
- Depreciation on the portion of a home computer you use for investment activities, along with the cost of computer software and online services used to track your investments.
- Travel costs incurred in relation to your investments.
- Legal, accounting, or advisory fees related to your investments.
- Safe deposit box rental if you store stock certificates, bonds, and documents related to income-producing securities.
- Phone bills for calls about your investments.
- Keep track throughout the year to include all valid outlays.