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Tax Law (Questions About Taxes)/Employer included expense reimbursement as income

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Question
Hello John. I worked for a company during part of 2015 where I was required to maintain a corporate card in my name. I received direct deposit reimbursements from the company to pay the card bill. Total monies received in this way are over $2000 and were included in my total income for the company. Turbo Tax doesn't really help me figure out how to claim this correctly, since it wasn't actually income! Perhaps you can help. Thank you!

Answer
Rebecca,

Thanks for your question.

You company did a number on you. Since it does not meet the criteria for an accountable reimbursable plan, The reimbursements are income to you. You can deduct the expenses incurred as miscellaneous itemized deductions on Schedule A. To receive a tax advantage you can only deduct them if you are itemizing deductions, and you can only deduct Miscellaneous Itemized Deductions that exceed 2% of your adjusted gross income.

Hope this helps.

John Stancil, CPA

Tax Law (Questions About Taxes)

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John Stancil, CPA

Expertise

I can answer questions on personal income taxes, partnerships, and some corporate income taxes. I can deal with some state tax questions. Limited gift and estate tax questions. I am also familiar with ministerial and church tax reporting issues. I am Professor Emeritus at Florida Southern College. Sales taxes and property taxes are state and local issues so I am not likely be be able to give you an in depth answer on those types of taxes. I have maintained a CPA practice, specializing in tax, for over 35 years. I am a member of the National Association of Tax Professionals, The Florida Insititute of CPA's, The NCPE Fellowship. In addition I am a Certified Mentor for SCORE. Visit my website at www.mybaldcpa.com. I also offer seminars and consultations to churches and clergy on their tax issues at www.churchtaxsolutions.com Also visit my blog, www.thetaxdocspot.com. I am listed on Tax Connections at https://www.taxconnections.com/profile/John-Stancil/12258973 Prepare and file your own taxes at www.1040stancilcpa.com

Experience

I hold a doctorate in Accounting, and am a CPA. My certifications of CIA, CFM, and CMA are inactive. I passed all certification examinations on the first attempt, and received honorable mention for my scores on the CIA exam. I have operated a CPA firm for over 37 years and have taught accounting and tax at the college level for over 35 years.

Organizations
FICPA, NATP, NCPE Fellowship, Lakeland Business Leaders

Publications
The CPA Journal, Florida CPA Today, Green Consumer, Green Business, Global Sustainability as a Business Imperative, Palmetto Review, NATP TaxPro Quarterly, Mustang Journal of Finance and Accounting.

Education/Credentials
DBA University of Memphis MBA University of Georgia BS in Accounting Mars Hill University

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