Is are airpods tax deductible tax deductible?
TL;DR
AirPods can be tax deductible if they are used primarily for business purposes, but personal use must be considered and allocated appropriately.
Detailed Answer
Where to Put It on the Tax Form
Schedule C, Line 27a for business expenses. If part of a home office deduction, it may also be included in Form 8829.
Real World Example
A freelance graphic designer purchases AirPods for $200 and uses them 80% for client meetings and 20% for personal use. They can deduct $160 (80% of $200) as a business expense on their Schedule C.
Calculation Required
A calculation is required for this deduction.
Calculate the business-use percentage by estimating the time or frequency the AirPods are used for business versus personal use. Multiply the total cost by the business-use percentage to determine the deductible amount.
Audit Risk & Documentation Tips
Moderate audit risk. Keep detailed logs of business use, such as a calendar of meetings or calls, and retain receipts of purchase. Document the rationale for the business-use percentage claimed to substantiate the deduction if audited.
IRS Reference
IRS Publication 535, Business Expenses; IRC §162.
Relevant Industries
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Disclaimer: This is for informational purposes only and should not be construed as tax or legal advice. Always consult your tax advisor.
Page created on July 15, 2025