According to the IRS, to be deductible, an expenditure must be both "ordinary" and "necessary" in connection with your profession. The IRS defines "ordinary" as common and accepted in a particular profession and "necessary" as helpful and appropriate for a particular profession. Here’s a list of 16 professional expenditures commonly incurred by young health care… Continue reading Deducting Un-reimbursed Professional Expenses
Category: Deductions
4 Basic Tax Tips about Hobbies
From IRS Tax Tips: Millions of people enjoy hobbies that are also a source of income. Some examples include stamp and coin collecting, craft making, and horsemanship. You must report on your tax return the income you earn from a hobby. The rules for how you report the income and expenses depend on whether the… Continue reading 4 Basic Tax Tips about Hobbies
IRS Tips on Gambling Income and Losses
From IRS Tax Tips: Whether you like to play the ponies, roll the dice or pull the slots, your gambling winnings are taxable. You must report all your gambling income on your tax return. If you’re a casual gambler, odds are good that these basic tax tips can help you at tax time next year:… Continue reading IRS Tips on Gambling Income and Losses
Home Office Deductions – part 2
By Richard Schwartz, CPA In Part 1 of Home Office Deductions, we covered determining the qualifying space, regular and exclusive use, and multiple business locations. In Part 2, we’ll look at determining dollar amounts of your deduction, what to do if you’re an employee, selling your house, and keeping good records. How To Determine Deduction… Continue reading Home Office Deductions – part 2
Home Office Deductions – Part 1
By Richard Schwartz, CPA Every tax season, I have several clients that I meet with excitedly inform me that they have finally purchased a new home. And often times, the next bit of information they communicate to me, is that the new house has a home office. However, having a room in the house to… Continue reading Home Office Deductions – Part 1
Job Hunting Expenses
From IRS Tax Tips: Many people change their job in the summer. If you look for a new job in the same line of work, you may be able to deduct some of your job hunting costs. Here are some key tax facts you should know about if you search for a new job: Same… Continue reading Job Hunting Expenses
5 Tax Tips if you Travel while Giving Services to Charity
From IRS Tax Tips: Do you plan to donate your services to charity this summer? Will you travel as part of the service? If so, some travel expenses may help lower your taxes when you file your tax return next year. Here are five tax tips you should know if you travel while giving your… Continue reading 5 Tax Tips if you Travel while Giving Services to Charity
Vacation Home Rentals
From IRS Tax Tips: If you rent a home to others, you usually must report the rental income on your tax return. But you may not have to report the income if the rental period is short and you also use the property as your home. In most cases, you can deduct the costs of… Continue reading Vacation Home Rentals
Kids in Camp? Get Credit for that
Kids in camp? Make sure you get credit for child and dependent care this summer. Here are the IRS Tips to "Get Credit for Child and Dependent Care This Summer": IRS Special Edition Tax Tip 2014-16, June 11, 2014 Many parents pay for childcare or day camps in the summer while they work. If this applies… Continue reading Kids in Camp? Get Credit for that
Spring cleaning? Donate!
If you're spring cleaning, don't forget to donate clothing and household items to your favorite charities. Just remember to get a receipt and take a photo of your item donations for recording keeping.
IRS DECREASES MILEAGE RATE FOR 2014
The IRS announced that the standard mileage rate will decrease to 56 cents per business mile driven in 2014. That is a decrease of approximately 0.9% over the 56.5 cents allowed in 2013. According to the IRS, "The standard mileage rate for business is based on an annual study of the fixed and variable costs… Continue reading IRS DECREASES MILEAGE RATE FOR 2014
Deducting Un-reimbursed Professional Expenses
According to the IRS, to be deductible, an expenditure must be both "ordinary" and "necessary" in connection with your profession. The IRS defines "ordinary" as common and accepted in a particular profession and "necessary" as helpful and appropriate for a particular profession. Here’s a list of 16 professional expenditures commonly incurred by young health care… Continue reading Deducting Un-reimbursed Professional Expenses
DONATE ITEMS FOR DEDUCTIONS
Now is a great time to make semi-annual donation of clothing and household items to charitable organizations. Don't forget to make a list, including each item's condition, since only items "good or better" qualify for deduction. Or, track your donation using the App UDoGood. If you'd like to use the IRS form 8283, you can get a pdf here.
Tuesday Tip: Spring Clean and Donate
When Spring cleaning, keep in mind it's a good time to make semi-annual donation of clothing and household items to charitable organizations (and maximize this tax deduction using UDoGood.)
HAVE YOUR WORKING CHILDREN CLAIM “EXEMPT” ON THEIR W-4 FORMS
by Andrew D. Schwartz, CPA I graduated from Wharton in 1987. For those of you keeping score at home, that means I've been working at my practice for a score and a quarter. Now that I've been practicing for twenty-five years, many of the clients I picked up earlier in my career have children in… Continue reading HAVE YOUR WORKING CHILDREN CLAIM “EXEMPT” ON THEIR W-4 FORMS
AMT on ABCNews
Andrew was recently interview for an ABC News feature on the AMT. You can catch the full article on: http://abcnews.go.com/Business/taxes-dreaded-amt-returns/story?id=15539522
Questions about Deducting Mileage?
Hear Andrew's "Ask the Expert" reply on Quantia MD"s website: https://secure.quantiamd.com/player/vndpxprm?cid=1401&partner=ssa&m=011912_103225_ssa
IRS ANNOUNCES NO INCREASE TO STANDARD MILEAGE RATE FOR 2012
The IRS announced that the standard mileage rate will remain at 55.5 cents per business mile driven in 2012. Remember, the mileage rate jumped to that level on July 1, 2011, up from $.51 per mile at the start of last year. When you use your car for business, driving between job sites is deductible. … Continue reading IRS ANNOUNCES NO INCREASE TO STANDARD MILEAGE RATE FOR 2012