Quick Answer
Yes, jury duty pay you give to your employer is deductible as an adjustment to income on Schedule 1, Line 12. If you received $240 in jury pay but gave it to your employer while continuing to receive your salary, you can deduct the full $240, reducing your taxable income dollar-for-dollar.
Best Answer
Robert Kim, Tax Return Analyst
Best for W-2 employees whose employers continue salary during jury duty but require turning over jury pay
How the jury duty pay deduction works
When your employer continues paying your regular salary during jury duty but requires you to turn over your jury pay, you can deduct the entire amount you gave to your employer. This is an "adjustment to income" that reduces your taxable income dollar-for-dollar, reported on Schedule 1, Line 12 of Form 1040.
The IRS allows this deduction because you're essentially being taxed twice on the same income — once when you receive jury pay (which gets reported on a 1099-MISC), and again when your employer pays your regular salary for the same time period.
Example: $60,000 salary employee called for jury duty
Let's say you earn $60,000 annually and serve jury duty for 6 days, receiving $40 per day in jury pay:
Without this deduction, you'd pay federal and state income tax on the $240 jury pay even though you gave it all to your employer. At a 22% federal tax bracket plus 5% state tax, that would cost you $65 in unnecessary taxes.
Step-by-step filing process
1. Receive Form 1099-MISC: The court will send you a 1099-MISC reporting your jury pay in Box 3 (Other Income)
2. Report the income: Enter the full jury pay amount on Schedule 1, Line 8i (Other Income)
3. Claim the deduction: Enter the amount you gave your employer on Schedule 1, Line 12 (Jury duty pay given to employer)
4. Keep documentation: Save your employer's policy statement and any receipts showing you turned over the pay
What if you kept part of the jury pay?
If your employer allows you to keep mileage reimbursement or meal allowances, you can only deduct the actual cash amount you turned over. For example:
Key factors that affect this deduction
What you should do
Review your tax return if you served jury duty and gave the pay to your employer — many people miss this deduction. Use our return scanner to identify this and other commonly missed deductions that could increase your refund.
Key takeaway: Jury duty pay given to your employer is fully deductible on Schedule 1, Line 12, potentially saving you hundreds in taxes depending on your bracket and the length of service.
*Sources: [IRS Publication 525](https://www.irs.gov/pub/irs-pdf/p525.pdf), IRS Instructions for Schedule 1*
Key Takeaway: Jury duty pay given to your employer is fully deductible as an adjustment to income, potentially saving 22-37% of the jury pay amount in federal taxes alone.
Tax treatment of jury duty pay by employment status
| Employment Status | Jury Pay Reporting | Deduction Available | Tax Impact |
|---|---|---|---|
| W-2 Employee (employer continues salary) | 1099-MISC, Schedule 1 Line 8i | Full amount on Schedule 1 Line 12 | Zero net tax if fully given to employer |
| W-2 Employee (unpaid leave) | 1099-MISC, Schedule 1 Line 8i | None | Full jury pay taxable |
| Self-employed | Schedule 1 Line 8i | None | Full jury pay taxable, no SE tax |
| Retired | Schedule 1 Line 8i | None | Full jury pay taxable |
More Perspectives
Michelle Woodard, Tax Policy Analyst
Best for business owners and freelancers who serve jury duty
Self-employed jury duty considerations
As a self-employed individual, you don't have an employer to give jury pay to, so this specific deduction doesn't apply. However, you face different challenges and opportunities:
Lost income impact: Unlike W-2 employees who continue receiving salary, self-employed individuals typically lose income during jury service. You can't deduct this lost income, but you should track it for potential hardship exemptions.
Business expense deductions: You can deduct actual expenses related to jury service:
Jury pay taxation: Self-employed individuals report jury pay as "other income" on Schedule 1, Line 8i. This income isn't subject to self-employment tax since it's not from your business activities.
Planning strategy: If you anticipate significant jury service, consider whether the timing affects your quarterly estimated tax payments. Jury pay of $500+ might require adjusting your next quarterly payment.
Key takeaway: Self-employed individuals can't use the jury duty pay deduction but should track related business expenses and consider the impact on estimated tax payments.
Key Takeaway: Self-employed individuals can't deduct jury pay given to employers but should track courthouse expenses and consider jury income's impact on quarterly taxes.
Robert Kim, Tax Return Analyst
Best for retirees who may serve jury duty while receiving pension or Social Security
Jury duty for retirees
Retirees face unique considerations when serving jury duty, particularly regarding Social Security benefits and pension income:
No employer to reimburse: Since most retirees don't have current employers, the jury duty pay deduction typically doesn't apply. You'll report jury pay as income on Schedule 1, Line 8i without a corresponding deduction.
Social Security impact: Jury duty pay counts as "other income" but doesn't affect Social Security benefit calculations or the taxation of your Social Security benefits. However, if you're still working part-time and serve jury duty, coordinate with that employer about their jury duty policy.
Medicare considerations: Jury duty pay doesn't count as earned income, so it won't affect Medicare premiums based on modified adjusted gross income (MAGI). However, it does increase your total income, potentially affecting IRMAA surcharges if you're near the thresholds.
State tax variations: Some states exempt jury duty pay from state income tax entirely. Check your state's rules, as this varies significantly:
Planning tip: If jury service extends your time away from volunteer activities or part-time work, those aren't deductible losses, but they might affect your overall financial planning for the year.
Key takeaway: Retirees typically can't deduct jury duty pay but should understand how it affects their overall tax situation, particularly if near Medicare premium thresholds.
Key Takeaway: Retirees usually report jury pay as taxable income without deduction options, but it won't affect Social Security benefits or Medicare calculations.
Sources
- IRS Publication 525 — Taxable and Nontaxable Income
- IRS Instructions for Schedule 1 — Additional Income and Adjustments to Income
Reviewed by Robert Kim, Tax Return Analyst on February 28, 2026
This content is for educational purposes only and is not a substitute for professional tax advice. Consult a qualified tax professional for advice specific to your situation.