Financial service professionals need to be prepared to address the financial and tax implications of working remotely. The increase in remote working has both expected and surprising tax implications. One of the anticipated tax implications is that the expenses of working from home or of maintaining a home office are not presently deductible for most employees due to the 2017 Tax Cuts and Jobs Act. Nevertheless, self-employed individuals and independent contractors still can deduct their business expenses, including those related to home offices. Employees working from home for an employer whose office is in another state may be subject to some surprising and complex state income tax issues.
Author: Paul J. Schneider, JD, LLM, is senior counsel to Paisner~Litvin, LLP, Bala Cynwyd, Pennsylvania, where he has advised clients on taxation and employee benefit matters for more than 30 years. He is a charter fellow of the American College of Employee Benefits Counsel and has served as chairman of the Important Developments Subcommittee of the American Bar Association Tax Section’s Employee Benefits Committee. Mr. Schneider is also a member of the board of editors of the Journal of Taxation.
Mr. Schneider is a graduate of Lehigh University, Columbia University School of Law (JD), New York University (LLM in Taxation), and LaSalle University (MBA). Mr. Schneider frequently writes articles and lectures on tax and employee benefits-related topics, and is the former coeditor of ERISA: A Comprehensive Guide, 4th Edition (Aspen, 2011).
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