USA Schedule A vs. schedule C for business related expenses

[Ashley K. Knowlton MBA]

I have a client who is a professional musician (as is her husband). They asked if they could deduct expenses for performance clothing (not worn in everyday life).

From what I can see from the IRC this is a miscellaneous deduction that goes on Schedule A. However, they do fill out a Schedule C for their musician income. Do they have the option to net this expense against income on Schedule C, or is Schedule A their only option?

They are young, and renters, and MFJ, and likely do not have enough other itemized deductions to be worth filing a Schedule A, so if they can't put the expense on Schedule C they will not be able to deduct it anywhere.

 

[maarkr]

I would def put it on the sched C... you said they don't itemize so no sched A anyway...

 

[Ashley K. Knowlton MBA]

But is it allowed on Schedule C? If so where? I didn't see it as an expense category for Schedule C, only Schedule A.

 

[maarkr]

under other expenses... i'd put 'uniform expense' as the description

review the schedule SE for your business
https://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Self-Employed-Individuals-Tax-Center

 

[DTA93433]

Yes, I definitely would offset the expense against income in Schedule C - as "Other Expenses". Pub 529, p. 13 under "Performing Artists" allows this deduction against income. The only circumstance I would ever use Sch A, Line 28 would be a W-2 employee not reimbursed for the cost of the uniforms. But since the taxpayer is self-employed, take it on Sch C instead.