Home office expenses: Remote workers may be able to deduct home office expenses, such as the cost of a home office space and supplies, if they meet the criteria for a regular and exclusive home office.
State tax implications: Remote workers may be subject to taxes in both their home state and the state where their employer is located, creating a potential for double taxation.
Unemployment benefits: Unemployment benefits received during the pandemic may be taxable income.
Remote workers as independent contractors: Companies may classify remote workers as independent contractors, leading to potential tax implications for both the company and the worker.
Health insurance: Remote workers may have difficulty accessing employer-sponsored health insurance, leading to the need to obtain individual health insurance and the related tax implications.
Retirement benefits: Remote workers may face challenges in participating in employer-sponsored retirement plans, potentially leading to the need to establish individual retirement accounts and the related tax implications.
Travel expenses: Remote workers may incur travel expenses related to their work, such as business-related travel or travel to visit clients. These expenses may be tax-deductible.
Employee benefits: Remote workers may be excluded from certain employee benefits, such as commuter benefits, that are provided to in-person employees.
International tax implications: Remote workers who are U.S. citizens or resident aliens working abroad may face additional tax implications, such as the need to file U.S. taxes and comply with foreign tax laws.
Record-keeping requirements: Remote workers must keep accurate records of their home office expenses, travel expenses, and other related expenses to claim deductions and credits.
