November 29, 2016

Deducting Medical and Dental Expenses

If you’re planning on deducting health care expenses on your federal taxes, you should know about the following rules: The amount of allowable medical expenses you must exceed before you can claim a deduction is 10% of your adjusted gross income (AGI), unless you or your spouse are age 65 or older. In this case, the AGI threshold is 7.5%. This exception will be valid through December 31, 2016. Beginning January 1, 2017, the threshold will be 10% for all taxpayers. You should also keep in mind that only expenses paid in 2016 are eligible for deductions on 2016 taxes. If you paid by check, you can consider the day you mailed or delivered the check to be the date of payment. You can only claim medical or dental expenses if you itemize deductions on your federal tax return. Tip courtesy of Mike Patton | Forbes.com
August 9, 2016
Tax Tip: Rules for Home Office Deductions

Tax Benefits for Job Hunters – Financially Simple

“Tax Benefits for Job Hunters”, Are you or is someone you know looking for a job? If you’re looking for a job in the same line of work (i.e. not switching careers), you may be able to deduct some of your expenses on your federal taxes. Here’s what the IRS has to say: You’ll usually deduct your expenses on Schedule A, Itemized Deductions, as a miscellaneous deduction. However, you can only deduct miscellaneous deductions that are more than 2% of your adjusted gross income. Costs that you can deduct include: resume preparation, editing, and mailing costs; travel expenses related to your search, and placement agency fees. You may not be able to deduct job-hunting expenses if there has been a long gap between the end of your last job and the beginning of your hunt, or if you’re looking for a job for the first time. Keep in mind that reimbursed costs are never deductible, and you should always keep receipts and mileage logs in case of an IRS audit. So in this article we have completely described the tex benefits for job hunters. For more information about job-hunting tax concerns, consult a tax professional in your area or see […]