What is the adjusted gross income threshold for deducting unreimbursed employee expenses?

The correct answer highlights that there is no specific adjusted gross income (AGI) threshold for deducting unreimbursed employee expenses. This is important because deductions for unreimbursed employee expenses, which fall under miscellaneous itemized deductions, are not subject to a specific AGI limit. Instead, these expenses must exceed 2% of the taxpayer’s AGI to be deducted. This means that while there is a threshold in the sense that only the amount exceeding 2% of AGI can be deducted, it does not limit the ability to claim the deduction based on the AGI itself.

In contrast, the other options suggest specific AGI thresholds, which can be misleading in the context of how these deductions are actually applied. Such thresholds could imply that individuals making below a certain income would not be able to deduct their unreimbursed employee expenses, which is not accurate under current tax law. The key point to remember is that while there is a need for these expenses to surpass 2% of AGI, there is no cap placed based solely on AGI.