Except for years 2018-2025 when Tier 2 itemized deductions are suspended by TCJA, employee business expenses normally are deducted as a miscellaneous itemized deduction. However, miscellaneous deductions are limited to those expenses that exceed 2% of a taxpayer’s Adjusted Gross Income. As a result, these deductions may be reduced or eliminated altogether. Further, they are not deductible for AMT purposes.

However, taxpayers such as teachers, who work for the public-school system, can treat their expenses as a charitable contribution, thus eliminating the 2% of AGI limitation. IRS instructions specifically allow contributions of cash or goods to the US Government or state agencies including political subdivisions such as school districts, police departments, etc. The usual substantiation rules for noncash contributions apply.