Tax Deductions for Nurses

There was a time in the not-too-distant past when tax deductions for nurses were plentiful. With a good tax accountant or an aptitude for reading the tax filing instructions, you could find plenty of deductions—continuing education, licensure fees, uniform expenses, unreimbursed mileage, liability insurance, tuition and more. You could itemize those deductions as long as their total deduction dollar amount exceeded the standard federal deduction whether you worked for yourself, a small business, or a corporate entity.

The Current Reality

Over the years, however, the number of deductible expenses has slowly decreased, and as of tax year 2018, very little is deductible for nurses, and the tax bracket in which you fall will further impact what you’re able to deduct. In the past, uniforms, shoes, medical supplies such as gloves, and other necessities for work were deductible. These may no longer be acceptable as deductions from your tax obligation, so it’s best to check with a certified tax professional regarding which items are now deductible on your tax filing.

What You Can Do to Maximize Nursing-Related Deductions

In order to itemize the deductions that do remain, you must keep thorough records and retain your receipts for those expenditures. Documentation is required to substantiate that which is deductible. Keep good records until you’re able to confirm with a tax pro which items you can itemize for the coming tax year.