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Is can airpods be tax deductible tax deductible?

TL;DR

AirPods can be tax deductible if they are used primarily for business purposes. Personal use must be minimal to qualify for a deduction.

Detailed Answer

AirPods may be deductible as a business expense if they are used predominantly for business activities, such as conference calls, client meetings, or listening to work-related content. To qualify, the taxpayer must be able to demonstrate that the AirPods are necessary and ordinary for their trade or business. If the AirPods are used for both personal and business purposes, only the business-use portion is deductible. For example, if they are used 70% for business and 30% for personal use, only 70% of the cost can be deducted. It's important to maintain accurate records of usage to substantiate the business-use percentage.

Where to Put It on the Tax Form

Schedule C, Line 27a for business expenses or Form 2106 for employees claiming unreimbursed expenses.

Real World Example

A freelance graphic designer purchases AirPods for $200 to use primarily for client calls and listening to design tutorials. They determine that 80% of the use is for business. Therefore, they can deduct $160 (80% of $200) on their Schedule C.

Calculation Required

A calculation is required for this deduction.

Calculate the business-use percentage by dividing the time or frequency of business use by the total use. Multiply the cost of the AirPods by this percentage to determine the deductible amount.

Audit Risk & Documentation Tips

Moderate audit risk. Keep detailed records, such as a log of business use, receipts, and any relevant correspondence or contracts that demonstrate the necessity of the AirPods for business. Clearly document the business-use percentage calculation.

IRS Reference

IRS Publication 535, Business Expenses; IRC §162.

Relevant Industries

FreelancersConsultantsReal Estate AgentsSales Professionals

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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 25, 2025