Which tax position does Holly likely hold if she reports employee expenses on her tax return?

If Holly is reporting employee expenses on her tax return, it indicates that she is a full-time employee. Employees typically can deduct certain unreimbursed expenses related to their job, such as travel costs, supplies, and tools needed for their work, provided they meet specific criteria set by the IRS. This deduction highlights that Holly has an employment relationship with an employer who pays her a salary or wages, yet she incurs expenses directly related to her job requirements.

In contrast, independent contractors and self-employed individuals report their income and expenses differently and can claim business deductions without the limitations imposed on employees. Their expenses are often reported on different forms such as Schedule C. Meanwhile, part-time employees also fit into the employee category and could potentially report similar expenses; however, the lack of clarity regarding time commitment does not negate the status of full-time employment for the purposes of claiming such deductions.