Form 71 06 Employee Business Expenses

Calendar year 1972 or other taxable year
Department of the Treasury 19

beginning ...... seseesesnnp 1972, and ending .......

Internal Revenue Service

ven > Attach to Form 1040.
Your name ‘Social security number | Occupation in which expenses were incurred
Employer's name Employer's address

PART |.—Employee Business Expenses which are Deductible in Computing Adjusted Gross Income on Line 17, Form 1040

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Travel expenses while away from home on business (number of days........):
(a) Airplane, boat, railroad, etc., fares.
(b) Meals and lodging. 2 2...
(c) Automobile expenses (from Part IV)
(a) Other travel expenses (specify)

Total travel expenses oe
2 Transportation expenses (not between home and work and not incurred while
away from home overnight):
(a) Airplane, bus, railroad, taxi, etc., fares
(b) Automobile expenses (from Part IV)
(c) Other (specify)

Total transportation expenses. . . . . .
Outside salesman’s expenses:
(a) Automobile expenses (from Part IV) . . . 2. . . ee
(b) Other (specify)...

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Total outside salesman’s expenses . 2. 6 ee ee ee ee
4 Employee expenses other than traveling, transportation, and outside salesman’s expenses to the extent

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of the reimbursement. 2. 6 ee ee ee ee

5 Total oflines1,2,3,and4. 0. 6 1 1 ee ee

6 Less: Amount of employer's payments for above expenses (other than amounts included on Form W-2). |_______

7 Excess expenses (line 5 less line 6). Enter here and include in line 48, Form 1040 _

8 Excess payments (line 6 less line 5). Enter here and include in line 44, Form 1040 ree |

PART II.—Employee Business Expenses which are Deductible if You Itemize Deductions on Schedule A (Form 1040)

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1 you itemize your deductions rather than slect to use the standard deduction, deduct under ‘‘Miscel- Yi V7

PART II!.—Additional Information to be Furnished by Persons Claiming a Deduction for Educational Expenses

1 Business expenses other than those included above (specify)

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1 Name of educational institution or activity
2 Address __

3 Were you required to undertake this education to meet the minimum educational requirements to qualify in
your employment, trade, or business? . . rn - [Yes [No

4 Will the program of study undertaken qualify you for a new trade or business? . . . . . . . . -[] Yes [] No
5 If your answer to question 3 or 4 is “No,” state the reason for obtaining the additional education and show the relationship be-
tween the courses taken and your employment during the period __

6 List the principal subjects studied at the educational institution or describe your educational activity,

w= s2035-1


Form 2106 (1972)

Inctude all expenses you paid or incurred as an employee,
or expenses which you charged to your employer (for example,
through the use of credit cards), or expenses for which you
received an advance, allowance, or reimbursement. For a more
detailed explanation of these expenses, see the instructions
for Form 1040.

Business expenses paid (reimbursed) to you_by your em-
ployer, must be included on page 1, Part |, line 6, unless they
have been included on your Form W-2. Any such amounts

Instructions

Page 2

shown on your Form W-2 should be reported as wages on line
11, Form 1040, Check with your employer if you are in doubt
as to whether or not the payment is included in your Form W-2.

For a detailed explanation of the rules relating to deductions
for travel, entertainment, and gift expenses, see Publication
463 which you can obtain tree from the District Director's
office.

Use Form 3903 for computation of the moving expense
deduction.

PART |V—Automobile Expenses

PART V—Computation of Automobile Basis

Note: Use either the Regular or the Optional method. If you
use the regular method, prepare a separate Part IV and Part
VI for each automobile.

A. Months auto held for business use months
B. Total mileage for months inA . miles.
C. Portion of B applicable to business _. miles

Note: If the vehicle was acquired for cash only or by trade-in
of another vehicle which was not used in business, complete
only lines 10 through 15 below. If acquired by trade-in of
another vehicle previously used in business, complete lines 1
through 15, (The basis for depreciation must be recomputed
each succeeding year if the percentage of business use
changes.)

(Include expenses only for the num:
Regular Method: (‘eof months indicated tn A above

Old Car Traded-in:

1 Gasoline, oil, lubrication, etc... . . «|
2 Repairs

3 Tires, supplies, etc. .
4 Other: (Specify) In-
clude interest, taxes, .
etc. (Enter
parking fees and tolls
on line 18 below)...

insurance,

5 Total . .
6 Percentage of expense applicable to busi-
ness (line C above divided by line B above) %

7 Business portion (line 5 multiplied by line 6)
8 Depreciation from Part VI, col. (h)
9 Line 8 divided by 12 months .

10 Multiply line 9 by A, above
11__ Total (line 7 plus line 10) (see tine 17)

i |. (The standard mileage rate applies to the total
Optional Method: (josiness miles ine ©, above) of ail automobiles.

The optional method cannot be used if depreciation has been claimed
in a prior year using a method other than straight line (or where addi-
tional first-year depreciation has been claimed). Use of the optional
method will not affect a deduction for interest relating to the automobile
nor deductions for state and local taxes (other than those included in
the cost of gasoline).

12

Enter 15,000 miles or the mileage on line
C above, whichever is smaller

Multiply line 12 by 12¢ and enter result
here .

Excess, if any, of line C over 15, 000 mites .
Multiply line 14 by 9¢ and enter result
here

16___ Total (line 13 plus | line 15).

Summary:

13

14
15

17 Enter the amount from fine 11 or line 16,
whichever is used So ee
18 Add parking fees andtolls . . |

19 Total. Enter here and in appropriates sec:
tions of Part I, page 1

1 (a) Total mileage accumulated .

(b) Portion applicable to business .
(c) Percentage applicable to business
(line (b) divided by line (a)) .

(miles)

2 Purchase price or other basis .

3 Less: Trade-in allowance .

4 Difference (line 2 less line 3) .

5 Line 4 multiplied by percentage on line
1 (©) rn

6 Less: Gain (or plus loss) on previous
trade-in

7 Difference (line 5 less line 6) .

©

Depreciation allowed or allowable

©

Gain (line 8 less line 7) or loss (Jine 7 less
line 8) on business portion of car_.

Present Car:

10 Purchase price or other basis

11 Less: Estimated salvage value

12 Balance (line 10 less line 11) .
13 Line 12 multiplied by percentage on line
6 of Part IV .

14 Less: Gain (or plus loss) on line 9 above .

15 Basis for computing depreciation

PART VI—Depreciation of Automobile (If you elect the Class Life (ADR) System (Form 4832) and/or the Guideline Class
Life System (Form 5006), you must attach the appropriate form to your return)

| Date ‘Aye when

Basis (From line 15,
Part V) acquired

Make and style of vehicle
@)

Depreciation allowed in
prior years
(e)

Method of computing |
depreciation
(t)

Rate (%)
lor life (years)
(O}

Depreciation
for a year
dh

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Served US, GOVERNMENT PRINTING OFFICE :1972~(

(-458-255 131-197-0820