The IRS Deductions Blog

Archive for March, 2010

Question: Regarding Tax Deductions for an RV?

From personal experience, I know that the interest on an RV loan is often tax-deductible like a mortgage loan, as the RV is construed as a second home. I also know that if one were to cash out some investments to purchase other investments, one would not have to pay taxes on the proceeds.

Answer: If you sell a capital asset at a gain you will owe taxes on that gain regardless of what you do with the money. The repurchase of another asset, motor home included, will not make it non-taxable. I assume that’s what you mean by “non tax-deductible”.

Items on Amazon Right Now for Mortgage Deduction For Second Home:

Which tax-preparation software is the best?

Which tax-preparation software is the best?

Authors@Google: Ramit Sethi

Items on Amazon Right Now for Deductible Medical Expenses Cra:

Daw: Making the most of taxman’s home renovation credit

The popular home renovation tax credit was not extended in Thursday’s federal budget. So taxpayers are looking for ways to make the most of the 2009 credit.

Question: Where do I put the sales tax from my new car on my tax return?

Before I bought my car the salesman stated that I could deduct the sales tax I paid on it. Where would this go on my 1040? Do I have to itemize my deductions to claim this deduction? It was only like $1850 and I really dont have too many other deductions. If, so I guess I am better off taking the standard deduction.

Answer: It is reported on the Schedule A as an itemized deduction on Line 5, if you are itemizing you have a choice to claim State and Local Income Tax or Sales Tax but not both. If you are taking the Standard Deduction rather than Itemizing then you would not be able to claim the Sale Tax.
Publication 600

http://www.irs.gov/pub/irs-pdf/p600.pdf

Items on Amazon Right Now for Sales Tax Deduction Itemized:

TurboTax Home & Business Federal + State + Federal efile 2009 $42.89 TURBOTAX HOME & BUSINESS WITH…

J.K. Lasser’s 1001 Deductions and Tax Breaks 2012: Your Complete Guide to Everything Deductible $9.98 A straightforward guide to taking tax breaks and deductions on your 2011 tax returnCompletely revised to reflect important changes in this year?s tax laws, J.K. Lasser?s 1001 Deductions & Tax Breaks 2012 will help you take advantage of every tax break and deduction that you may be entitled to. This comprehensive guide is clearly organized by subject matter so you can easily find situations that ma…

J.K. Lasser’s 1001 Deductions and Tax Breaks 2011: Your Complete Guide to Everything Deductible $14.96 A straightforward guide to taking tax breaks and deductionsCompletely revised to reflect important changes in this year’s tax laws, J.K. Lasser’s 1001 Deductions & Tax Breaks 2011 will help you take advantage of every tax break and deduction you may be entitled to.This comprehensive guide is clearly organized by subject matter so you can easily find situations that may apply to you. Each tax benef…

J.K. Lasser’s 1001 Deductions and Tax Breaks 2010: Your Complete Guide to Everything Deductible $4.99 A straightforward guide to taking tax breaks and deductionsCompletely revised to reflect important changes in this year’s tax laws, J.K. Lasser’s 1001 Deductions & Tax Breaks 2010 will help you take advantage of every tax break and deduction you may be entitled to.This comprehensive guide is clearly organized by subject matter so you can easily find situations that may apply to you. Each tax benef…

Summary of tax, budget issues in NM Legislature

A summary of measures approved by the New Mexico Legislature during a special session, which ended Thursday. The bills go to Gov. Bill Richardson, who has 20 days to sign or veto them.

Question: I live 150 miles from work, do I qualify for a tax deduction?

I work offshore. I travel 150 miles from home to the office in my car, then can go anywhere in a company vehicle from Mississippi to Texas to a dock to head offshore. Do I qualify for any Tax Deductions such as mileage, hotels, or meals?

Answer: The 150 miles to and from work do not count for any deduction, as that is normal milage to and from your place of work.

The other driving: you said is a company car, so the car is their, then you have to concider what expenses are being payed for by the company verses what are your expenses.
No you can’t deduct if the company reimburses you, for gas.ect
If you have to stay overnight on the trips you can keep track of your expenses and then give them to the company for reembursement and could declare the portion they do not reimburse, or you can take the daily rate as a deduction but then deduct what they payed toward the expenses.
this would be done on the employee business expense form, which then goes to the Itemized Deductions schedule A in the Job expenses and Miscellaneous deductions section there you must subtract 2% of your AGI from those expenses.

If you cannot benefit from Itemizing then your still taking the Standard deduction

Items on Amazon Right Now for Tax Deduction Working From Home:

H&R Block At Home Deluxe + State 2011 Win [Download] $12.01 H&R Block At Home: Deluxe–Homeowners/Investors, Federal + State H&R Block At Home Deluxe is the right choice for those with more complex tax situations to easily complete their federal and state returns. It includes the H&R Block tax expertise you trust–plus H&R Block’s maximum refund guarantee. H&R Block At Home Deluxe includes everything you need to easily complete your federal and state taxe…

Working for Yourself: Law & Taxes for Independent Contractors, Freelancers & Consultants $11.78 Be your own boss — easily, efficiently and successfully — with this bestseller! Whether you’re an independent contractor, freelancer, or consultant, it all adds up to the same thing: You need to be more aware of laws and taxes than the average person. Fortunately, Working for Yourself provides all the information you need to stay on top of it all. An independent contractor himself, Stephen Fishm…

David Bruner, The Tax Man: Moving deductions

With the current state of the economy, many people are relocating to start a new job or to find work

Small Business Tax Advice – Working from Home

Question: Are you aware of the new 2010 tax laws?

New IRS Tax

Answer: hahaha funny
Good one
Love it

Items on Amazon Right Now for Tax Deductible Clothes:

ItsDeductible 2002 Cash for Your Used Clothing $25.00 Tax Year 2002 Workbook, 13th Edition of Cash For Your Used Clothing. Cash for Your Used Clothing is the only product on the market today that determines and assigns the actual fair market value to your charitable donations and guarantees you will increase your tax refund or your money back! An independent study showed that 91% of people who donate even one bag of clothing to charity value those do…

MONEY For Your Used Clothing $25.00 “MONEY – For Your Used Clothing” provides the taxpayer with certified valuations for over 700 clothing and household items commonly donated to charity – and all in accordance with the New IRS guidelines. If you itemize your deductions on your annual income tax return, you will save hundreds of dollars by using this book! This book explains six simple steps for documenting donations and tells how t…

Tax goodies for job seekers

Job hunting can be expensive. The costs of hiring career coaches, printing hundreds of résumés at Kinko’s and flying out for weekend job interviews can really add up, especially for someone who doesn’t have an income.

Lisa Fisco Going For The Gold-Female weightlifter