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Level 2
June 2, 2021
Question

Are expenses for Covid required 14 day quarantines for international travel (foreign earned income) deductible?

  • June 2, 2021
  • 4 replies
  • 21 views

Chief Engineer for a foreign owned and operated company, onboard floating power plant (ship). He does not satisfy the 330 day rule. Question: He must continually quarantine for 14 days out of his own pocket, due to Covid (i.e., Mexico City before going on board ship in Trinidad).  The expenses are mandatory, but not compensated for by foreign company.  The time is not even considered "travel time" by the employer, but rather as uncompensated "dead time". 

Is there any relief or deduction anywhere?

He is NOT a W2 employee.  He is issued a "letter of earnings" detailing earnings, allowances and foreign tax paid.  Obviously, the elimination of Form 2106 rather cooked his goose.      

 

This topic has been closed for replies.

4 replies

sjrcpa
Level 15
June 2, 2021

He is an employee, but one who does not get a W-2.

As you said, employee business expenses are not deductible.

The more I know the more I don’t know.
PATAX
Level 12
June 2, 2021

The approximate doubling of the standard deduction amount was meant to compensate for the elimination of the  employee business expenses , this helps some people but not all...

BobKamman
Level 15
June 2, 2021

And of course the removal of the personal exemption was meant to offset some of the higher standard deduction.