Overlooked Tax Deductions

Posted on by Emily in Saving Money & Finances

Overlooked Tax Deductions – Believe it or not, thousands of Americans fall victim to common overlooked tax deductions every year. You too might be losing money if you’re not careful, which is why it’s important to check if the following tax deductions are applicable to you this year.

As the last few months of tax season settle upon us, you might find yourself scrambling to see whether or not you’ve missed anything. Doing your taxes is often confusing, and there are many aspects of your life only an expert would know are eligible as tax deductions.

Overlooked Tax Deductions

It’s important that you keep what you’re entitled to, especially in these gloomy economic times. The following is a list of some of the Top Overlooked Income Tax Deductions you may have missed:

- Charitable Donations – Have you given money to a charity or donated goods to the Salvation Army? Both are tax deductible.

- Dependent Parents – If you’re responsible for more than 50% of your parents’ financials, and their expenses take up more than 7.5% of your gross annual income, you might be eligible for a big tax deduction.

- Home Energy Efficiency Improvements – There are green energy tax credits available to people who make significant improvements to their houses, including installing new windows, doors, etc. Green energy tax credits extend to other parts of your life, including some hybrid or electric cars like the Nissan Leaf.

- Business Meals & Entertainment – If you own a small business or are a freelancer and take potential clients out on the town, make sure you keep track of all expenses. You can deduct 100% of the entertainment costs and 50% of food costs.

- Moving Expenses – If you move more than 50 miles for a job, you’re eligible to deduct the moving and traveling expenses.

- Job Hunt Expenses – Some of the costs of finding a job within your field can be deducted, including traveling to interviews, resume services and career coaching/classes. It must, however, be in pursuit of a job in your field.

These tips have sourced from U.S. News Money and Money Smart Life. Check out the links for more great tips on Overlooked Income Tax Deductions.

Any time of year that revolves around money is stressful! The holidays and tax season might be some of the worst in this sense. Make sure you don’t get overwhelmed with stress, it’s bad for your physical and emotional health. There are many ways different people combat stress– I like to go for long walks and write down lists of what I’m worried about. Find out what works for you and try to get through this tax season as smoothly as possible.

Overlooked Tax Deductions

Overlooked Tax Deductions

Tags: hidden tax deductions