Tax Deductions for Retail Sales Associates
Regardless of whether you work full-time or part-time hours as a cashier or retail sales associate, you'll be required to report the total amount of income to the IRS when tax season rolls around. You'll receive a Form W-2, Wage and Tax Statement from your employer. This will have your income and withholdings, such as income tax, Social Security and Medicare clearly stated, which you'll need to accurately file your tax return.
You may be able to reduce the amount you we in taxes by claiming deductions on your unreimbursed job-related expenses. Claim these expenses as a miscellaneous itemized deduction on a Schedule A of your tax return, which are often subject to a 2% limitation of your adjusted gross income.
Receipts are necessary to document your costs. Some expenses that may be deducted include:
- Union dues
- Cost and upkeep of required uniforms, as long as they aren't suitable for everyday wear
- Fees for subscriptions to work-related publications and magazines
Educational expenses can be deducted if they relate to your job, and you don't need them to meet the minimum requirements for the job. Educational courses that qualify you for a new job or career are generally not eligible for deductions. All educational expenses are required to relate to your current position, which means retail workers can't deduct expenses for classes to become a teacher, scientist, etc.
