Cell Phone and Taxes

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  • sharlan
    Daycare.com Member
    • May 2011
    • 6067

    Cell Phone and Taxes

    (Yes, I am bad, I filed an extension and am just now doing our taxes. First time late in 42 years.)

    I have a landline, but don't use it for daycare. My parents don't even have the number. I use my cellphone mostly for daycare reasons - about 95%.

    My base rate is $80 a month. My line is another $51. My mom's and dh's are another $25 each.

    Can I claim the whole $80 for each month or only 1/3 of it because of the 3 lines? Mine is the main number.
  • TomCopeland
    Business Author/Trainer
    • Jun 2010
    • 3062

    #2
    Originally posted by sharlan
    (Yes, I am bad, I filed an extension and am just now doing our taxes. First time late in 42 years.)

    I have a landline, but don't use it for daycare. My parents don't even have the number. I use my cellphone mostly for daycare reasons - about 95%.

    My base rate is $80 a month. My line is another $51. My mom's and dh's are another $25 each.

    Can I claim the whole $80 for each month or only 1/3 of it because of the 3 lines? Mine is the main number.
    You can't deduct any portion of the monthly cost for the first line into your home (landline). You can deduct the business portion of a second line. So, if you use your second line (cellphone) 95% for business: $51 x 95% = $48.45.
    http://www.tomcopelandblog.com

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    • sharlan
      Daycare.com Member
      • May 2011
      • 6067

      #3
      What about the $80 base rate for the cell phone? The cell phone bill has an $80 base rate, then another $51 for my phone on top of that. I also have my husband and my mother on my cell phone bill.

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      • TomCopeland
        Business Author/Trainer
        • Jun 2010
        • 3062

        #4
        phone

        Originally posted by sharlan
        What about the $80 base rate for the cell phone? The cell phone bill has an $80 base rate, then another $51 for my phone on top of that. I also have my husband and my mother on my cell phone bill.
        If the base rate for the cell phone is only for the cell phone, then you can deduct the business portion of it. If the $80 base rate is due even if you had only one phone line, then you can't deduct any portion of it. If the $51 is only for your cell phone then you can deduct the business portion of that.
        http://www.tomcopelandblog.com

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        • rebekki78
          Daycare.com Member
          • Sep 2013
          • 137

          #5
          I am glad you asked this, as I have been wondering the same thing. I didn't deduct my cell off of my taxes this year, but next year I will. I do have a home phone land line that I use for family. Thanks!

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