For many taxpayers, the question of whether work clothing is tax-deductible is a common source of confusion. While it may seem logical that clothing purchased for your job or business should qualify as a deduction, the IRS is very specific about what counts.

General Rule: Most Work Clothing Is Not Deductible

In general, clothing is not deductible if it is suitable for everyday wear—even if it is purchased solely for work. This includes:

• Business suits, skirts, and dresses

• Casual work clothes like khakis or plain shirts

• Boots and shoes suitable for street wear

• Watches or accessories used for business

The rationale is simple: if the clothing could be worn outside of work, it is considered a personal expense and not deductible.

Exceptions: Clothing That Can Be Deducted

Certain categories of work clothing are deductible if they are required for your job and not suitable for personal wear. These include:

1. Uniforms

• Airline pilots, nurses, and other professions often have uniforms required by employers.

• Athletic uniforms for professional sports, as confirmed by IRS rulings, are deductible.

2. Protective Gear

• Safety equipment essential for performing your job safely, such as steel-toed boots, insulated coveralls, or gloves, can be deducted.

• Electricians, construction workers, and long-haul drivers are common examples.

3. Specialized Industry Apparel

• Clothing designed for a specific industry or job performance that cannot reasonably be worn off duty qualifies.

• Examples include hospital scrubs, grease-stained mechanic overalls, or stage performance costumes.

4. Promotional Clothing

• Clothing worn to promote a business, clearly marked with a logo, can be deducted if it is not used personally.

• Logoed shirts, jackets, or coats for marketing purposes are good examples.

5. Maintenance Costs

• If clothing is deductible, laundering, dry cleaning, or other maintenance costs are also deductible.

Deduction Rules for Independent Contractors vs. Employees

• Independent contractors: Can deduct qualifying work clothing as a business expense on IRS Schedule C, as long as it is ordinary and necessary for their business.

• Employees: Due to the Tax Cuts and Jobs Act and the One Big Beautiful Bill Act (OBBBA), employees cannot deduct work clothing on their personal returns. Instead, they should seek reimbursement from their employer.

Employer Reimbursements: Accountable Plans

Employees can receive tax-free reimbursement for work clothing if the employer follows an accountable plan, which requires:

1. The expense is for business purposes only.

2. Adequate and timely accounting of the expense.

3. Return of any excess payment.

Reimbursements under an accountable plan are tax-deductible for the employer and tax-free for the employee.

Key Takeaways

1. Most work clothing is not deductible unless it is required for your job and unsuitable for personal wear.

2. Deductible items generally include uniforms, protective gear, specialized industry apparel, and promotional clothing.

3. Independent contractors can deduct qualifying clothing as a business expense.

4. Employees should seek employer reimbursement through an accountable plan to get a tax benefit.

Understanding the rules for work clothing deductions can help both employers and employees maximize tax benefits while staying compliant with IRS regulations.