Tax Deductions You Might Be Able to Take
February 01, 2017
Tax time is upon us and although nobody likes to look at how much money you are paying in, you may not have to pay as much as you think. We have come up with a few deductions that many people are not aware of. If any of these apply to you, they could help shrink your tax bill.
If you are moving because of a new job or because your current job changed locations, you may be able to deduct moving expenses such as hiring a moving company or renting a truck. There are some rules to qualify which include your new job location must be at least 50 miles further away from your old home than you old job was, you must move no earlier than a year before starting to work in the new location and you must remain working at that location full-time for at least 39 weeks during the first year you moved.
Job Hunting Expenses
If you are looking for a new career in the same field and it is not your first career, you could deduct job-search costs. These expenses would include transportation to and from interviews, cost to print resumes and mailing them out, food and lodging if you are searching in a new location. Keep in mind that the new suit you bought for interviews and the courses you took do not qualify as deductions.
You may already be deducting things such as your prescriptions, but remember that things such as programs or products to help you quit smoking, breast pumps and even modification to your home for someone disabled can be deducted. You may even be able to deduct the cost of wigs from hair loss and weight loss treatments.
You are allowed to deduct your losses if you itemize these deductions and you’ve kept a good record of your winnings and losses.
Home Office Expenses
If you work from home, don’t forget to deduct those expenses such as utilities, insurance, property taxes and maintenance.
In the miscellaneous category you can include expenses such as uniforms, work clothes, union dues, dues to professional organizations and work-related education costs.
If you are curious if you qualify for any of these deductions, please seek out your tax advisor. If you would like a referral to one, please contact our office at 763-231-9510.
The information contained in this blog does not purport to be a complete description of the securities, markets, or developments referred to in this material.
The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Nicole Middendorf and not necessarily those of Raymond James.
There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Every investor’s situation is unique and you should consider your investment goals, risk tolerance and time horizon before making any investment. Prior to making an investment decision, please consult with your financial advisor about your individual situation.
While we are familiar with the tax provisions of the issue presented herein, as Financial Advisors of RJFS, we are not qualified to render advice on tax or legal matters. you should discuss tax or legal matters with the appropriate professional.