{"id":469,"date":"2015-07-09T14:31:00","date_gmt":"2015-07-09T18:31:00","guid":{"rendered":"http:\/\/blog.etax.com\/?p=469"},"modified":"2015-06-30T14:32:15","modified_gmt":"2015-06-30T18:32:15","slug":"building-deductions-to-lower-taxes","status":"publish","type":"post","link":"https:\/\/www.etax.com\/blog\/2015\/07\/09\/building-deductions-to-lower-taxes\/","title":{"rendered":"Building Deductions to Lower Taxes"},"content":{"rendered":"

As a carpenter, you\u2019ll spend your days constructing a variety of items for people which incorporate a great level of precision and skill. You\u2019ll need to copy this ability when filing your tax return. With so many different deductions and credits, as well as tax codes, it takes a keen eye to make sure everything is level.<\/p>\n

If you work for a specific company, you will receive a Form W-2, Wage and Tax Statement, from your employer at tax time. If you receive income from carpentry jobs outside your regular employer, you may be considered self-employed. Self-employment income is reported on a Schedule C, Profit or Loss from Business. For example, if you build your own furniture and sell it at a flea market on the weekends, you are considered self-employed. That income must be reported, either on your own or through a Form 1099-MISC from the parties you serviced. Net earnings over $400 are subject to self-employment tax, and you may need to make estimated tax payments<\/a> to cover the amount you owe as reported on Schedule C.<\/p>\n

However, you can reduce your taxes by claimed deductions for job related expenses that haven\u2019t already been reimbursed. As an employee, you can claim deductions a miscellaneous itemized deduction<\/a> on Schedule A, or a Schedule C if you are self-employed. You\u2019ll be wise to keep all receipts for such expenses. You may be eligible to deduct:<\/p>\n