Form 2106-EZ: Unreimbursed Employee Business Expenses

Form 2106-EZ is an IRS form used by employees to claim unreimbursed employee business expenses. This form is used to report expenses that are directly related to the employee's job, such as travel, meals, and entertainment. The form can be used by employees who are self-employed or who work for a company that does not reimburse employees for their business expenses.

To complete Form 2106-EZ, the employee must first list all of their unreimbursed business expenses. The expenses must be itemized, and the employee must be able to provide receipts or other documentation to support the expenses. The employee must then total the amount of their expenses and enter this amount on the form.

The employee can then claim a deduction for their unreimbursed business expenses. The amount of the deduction is limited to the employee's adjusted gross income. The employee's adjusted gross income is their total income minus certain deductions, such as the standard deduction or itemized deductions.

If the employee's unreimbursed business expenses are more than the amount of their adjusted gross income, the employee can carry the excess amount forward to future years. This means that the employee can claim the excess amount as a deduction in future years, even if they do not have any unreimbursed business expenses in those years.

Form 2106-EZ is a relatively simple form to complete. However, it is important to be accurate when completing the form, as any errors could result in the employee being audited by the IRS. If the employee has any questions about completing Form 2106-EZ, they should consult with a tax professional.

Form 2106-EZ is an important form for employees who have unreimbursed business expenses. By completing this form, the employee can claim a deduction for these expenses and reduce their taxable income.