Form 2106 and Employee Business Expenses
Form 2106 lets employees deduct ordinary and/or necessary expenses for their jobs. The IRS defines an ordinary expense as a cost your industry considers typical and accepted. The definition of a necessary expense is an expense that is useful and appropriate for your business.
The IRS allows relatively few types of employees to use Form 2106. Form 2106 is for use by:
Armed Forces reservists
Certain performing artists
Fee-basis government officials
Employees with expenses related to an impairment
Expenses for Form 2106 can include transportation, lodging, meals, or entertainment. Employees must have receipts or other records for these expenses.
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