What can actors claim on their taxes? – The Showbiz Accountant (2024)

FAQs

What expenses can you claim as an actor? ›

Deduct Expenses…

As self-employed individuals, we have a lot of expenses to pay just in order to do our jobs. Travel expenses, classes, Spotlight Membership, headshots, showreel editing, accountancy fees, telephone bills, theatre and cinema tickets, sheet music and a whole array of other costs. DEDUCT THEM.

Despite common myths that celebrities can write off just about anything that helps them maintain their image—and marketability—the opposite is true. Expenses like clothing, makeup, personal trainers, bodyguards and limousines are generally found to be personal expenses that cannot be used to reduce taxable income.

Can actors claim dues? Yes, if you belong to Actors' Equity, SAG, AFTRA, or any other performance-related union, you can claim your dues as a deductible expense. You can also claim any dues paid as a company member of a theater.

It doesn't matter if you wear something only for auditions. If it can be worn on the street without being considered a costume, it's not deductible. If you purchased the costume for a play or showcase, then keep some production photos to prove it. Gym membership is never deductible.

Some Common Expenses You Can't Deduct

These include: Personal hygiene expenses, like haircuts, clothing that can be reasonably worn outside of work, and dry cleaning (unless it's for a uniform) Legal violation fees, like parking tickets or court fees. Commuting mileage if you work at a permanent office away from home.

Movie stars can take advantage of various tax deductions and credits related to their profession, such as deductions for business expenses, charitable contributions, and production costs. These deductions can help reduce their taxable income and lower their overall tax burden.

You must wear them as a condition of your employment. The clothes cannot be suitable for everyday wear. Taking a look at these conditions, it looks like you won't be able to write off those designer suits since they wouldn't be distinctive enough to meet these requirements. So no, you can't write them off.

How much can you deduct for clothes? ›

Include your clothing costs with your other "miscellaneous itemized deductions" on the Schedule A attachment to your tax return. Work clothes are among the miscellaneous deductions that are only deductible to the extent the total exceeds 2 percent of your adjusted gross income.

Personal appearance expenses, such as haircuts, makeup, and getting your nails done are also nondeductible. The only time you can write off hair costs is if you have your hair styled for a photo or video shoot. The same goes for makeup.

Typical deductible expenses for actors include, but are not limited to, the following: Business travel. Airfare or other transportation costs and hotel or other lodging expenses, and 50% of the cost of meals. Local travel expenses.

To file your tax return as an independent contractor (self-employed), use the records you gathered (see Keep Records above) and fill out these forms: Form 1040, U.S. Individual Income Tax Return or Form 1040-SR, U.S. Tax Return for Seniors. Schedule SE (Form 1040), Self-Employment Tax.

You can't claim a deduction for hairdressing, cosmetics, hair and skin care products not relating to your role or costume, even though: you may receive an allowance for grooming. your employer expects you to be well groomed when at work.

SAG-AFTRA members are entitled to a variety of benefits, including contracts/collective bargaining, eligibility for the SAG-AFTRA Health Plan, SAG-Producers Pension Plan, the AFTRA Retirement Fund, the iActor online casting database, and much more.

In general, an expense is considered an entertainment expense if it involves 'eating, drinking and other hospitality', which may include accommodation or event tickets.