Does the new tax law taking away deductions for job-related expenses affect medical residents working in hospitals?

by Susan D. Jarvis, CPA | Feb 13, 2019

Since the introduction of the new tax cuts that take away job-related expense deductions for years 2018-2025, I was wondering if this also affects medical residents working in hospitals? We are paid by Medicare.

Yes, it affects everyone. There are no longer miscellaneous itemized deductions, including employee business expenses. The only exception would be for taxpayers who are self-employed. Their business expenses are still deductible as they always have been.

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Answered by: Susan D. Jarvis, CPA, is a sole practitioner in Nazareth, Pa.

The responses are based on the limited information provided by the questioner and apply the laws and regulations at the time of posting. Other options could arise as rules and regulations may change over time, including but not limited to the passage of the Tax Cuts and Jobs Act of 2017. They are intended to provide general information, not specific accounting or tax advice; they are not intended or written to be used and cannot be used for the purpose of avoiding or evading taxes or penalties under the IRS code or regulations. Views expressed do not imply an opinion of the PICPA, its officers, directors, employees, or members.
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