How the Deduction Gets Onto Your Return
Two forms are involved. You calculate on Form 2106, then carry the reservist portion to Schedule 1. The result reduces your adjusted gross income directly.
Step 1 — Form 2106, Employee Business Expenses
Form 2106 is where the arithmetic happens. You report your vehicle expenses using the standard mileage rate, and your travel expenses for lodging and meals, subject to the per diem caps. Meals carry the 50 percent limit.
The form was originally built for a much broader population of employees. Since 2018, most of those employees can no longer deduct these costs — but reservists still can, which is why the form still matters to you.
Step 2 — Carry it to Schedule 1, line 12
The portion of your Form 2106 expenses attributable to reserve-related travel more than 100 miles from home is carried to Schedule 1 (Form 1040), line 12. That line is specifically for reservists, performing artists, and fee-basis government officials.
Why "above the line" matters
Schedule 1 adjustments reduce your adjusted gross income before the standard or itemized deduction is applied. Two practical consequences:
- You get the deduction whether or not you itemize. Most reservists take the standard deduction, and this does not force a choice between them.
- Because it lowers AGI, it can improve your position on other items that phase out based on AGI.
Only the qualifying portion transfers
If some of your reserve travel was 100 miles or less, or did not involve an overnight stay, those amounts do not belong on line 12. Separate them before you transfer the total. Mixing non-qualifying trips into the reservist line is a straightforward error to make and an easy one for the IRS to unwind.
If you use tax software
Most consumer tax software supports this, though it is often not surfaced prominently. Look for a section on military or reservist expenses, or search the software's help for "Form 2106" or "reservist travel." If you cannot find it, that is usually a sign to search the product's help rather than to assume it is unsupported.
What to have in front of you
- Your mileage log and drill orders for the year
- Lodging receipts for nights you paid out of pocket
- The GSA per diem rates for each duty location
- Records of any travel reimbursement you received, so you can subtract it
- Receipts for parking, tolls, and ferry fees