Category Archives: Deductions
Employees who are required to wear a specific uniform to work may qualify for a deduction at tax time as an unreimbursed employee expense. However, as the next situation proves, the required clothing must not be suitable for wear outside of the workplace. The Situation Ralph Lauren Corporation sells, markets, and designs a wide range […]
— Read moreUnknowingly engaging in fraudulent transactions or learning you are the victim of a scam is never a good thing. When you’ve lost some of your hard-earned money due to theft, fraud, or a scam, you may be able to deduct the amount at tax time. However, state laws have three criteria that must be met […]
— Read moreAfter 2016, the Tuition and Fees Deduction will expire. Currently, you are eligible to deduct up to $4,000 from your taxable income for tuition expenses that you paid for either yourself, your spouse, or your dependents. Expenses paid in 2016 can be deducted if they were paid for one of the following purposes: Education during […]
— Read moreDo you have a student loan in which you make payments, some of which is applied to interest accrued on the loan? If so, you may be eligible to deduct some of the interest when you file your federal tax return. Your lender will report the amount of interest you paid using IRS Form 1098-E, […]
— Read moreGoods sold in many of the states have a sales tax imposed in addition to the purchase price. There are certain states that do not institute a sales tax for retail goods, however. No matter which state you purchase items in, sales tax can affect your federal tax return when you file. States Without Sales […]
— Read moreYou can deduct losses you incurred from gambling on your tax return, but only up to the amount of your winnings. Since gambling loss deductions are dependent on your winnings, you’ll need to report all the money you win from gambling to the IRS. This means you’ll have to include it in your taxable income […]
— Read moreMeals that are purchased for work or business purposes can either be fully deductible, or only 50% deductible depending on what the meals are for and a few other requirements. 50% Deductible During meetings, meals purchased for employees, stockholders, directors, agents and other business personnel are deductible at 50% of the actual cost of the […]
— Read moreAre you required to wear certain clothes to work to maintain a specific appearance? If so, have you ever wondered if you can count the expensive clothing you buy to wear to work as a business expense? Many employees think that they can consider work attire to be the same as a uniform, and therefore […]
— Read moreIf you own your own home and have a mortgage, you likely received a document at tax time from your lender. Known as the Form 1098, it totals the amount of interest you paid during the last tax year on your mortgage. The IRS must receive a copy of this form from your lender per […]
— Read moreThere are nine different states that don’t tax wages. For residents of the other fourth-one, tax season requires the filing of both a federal income tax return and a state return. While paying taxes to the state may not be ideal in your mind, there’s one highlight: State taxes may be able to reduce your […]
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