Tax Deductions for Factory Workers

Factory Worker

Do you work in a factory, warehouse or other production facility? If so, you'll be considered an employee of the company whom you work for, which means you will receive a Form W-2, Wage and Tax Statement from your employer. This will include the amount of salary you received through the year as well as your tax withholdings. This will help you correctly file your tax return.

When tax time rolls around, you can lessen your tax burden by claiming deductions on unreimbursed expenses you may have incurred that relate to your job. As an employee, you can claim these job-related expenses on a Schedule A, Itemized Deductions in accordance with a 2% limitation of your adjusted gross income. As with all deductions you claim, you'll want to keep receipts to document the expense.

Consider deducting:

  • Union dues or trade association fees
  • Fees for subscriptions to trade publications
  • Safety equipment like steel-toed boots

Educational expenses related to your job may be deducted if they meet certain qualifications. For example, a course can't be deducted if it is used to make you meet the minimum qualifications for your job, nor can it be deducted if you are able to work in a new trade or occupation. Most of the time, vocational courses, classes that teach new developments and refresher courses are deductible.