Tax Deductions That Are Often Overlooked

Today was the first day I worked. Though we can't actually file until the 14, th, we can take a taxpayers last pay stub and complete the majority of the return. When the customer gets their W-2's, we just input that info and send it away. I was reading up on deductions, and here are some of the top tax deductions that are overlooked. Now, depending on your filing situation, not all of these deductions will apply to you. And I cannot stress this enough, make sure you have records and you keep them. Do this every year. The more accurate your records are, the better benefit it will be to you when it is time to file your taxes.

1. Unreimbursed casualty and theft losses that are more that $100 and total more than 10% of your AGI(Adjusted Gross Income).

2. Mileage driven in relation to charitable activities.

3. Wages for nursing services.

4. Cost of a safe deposit box used for investment purposes.

5. State income taxes that are owed from a prior year and paid in the tax year.

6. Taxes paid to a foreign government.

7. Required work uniforms not suitable for wearing on the street.

8. Gifts to business clients up to $25 for each person.

9. Special school costs for mentally or physically handicapped people.

10.Guard dog for your business, or a guide dog.

11. Union Dues.

12. Employment agency fees.

13. Professional journals and magazines.

14. Mandatory contributions to state disability funds.

15. Gambling losses, up to the amount of your winnings.

16. Tax preparation fees, advice, and software.

17. Commissions to brokers and agents for the sale of property.

18. Worthless stock and securities.

19. Cell phones required for your business.

20. Medical transportation including parking, tolls and mileage for picking up medicine, doctors and dentists.

I hope this is helpful.

Tim

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