Tax Deductions for You!

Tax Deductions for You!

Tax Deductions for You!

Tax Deductions for You!

 

 

 

 

 

 

 

We have complied a list of the top tax deductions for the current tax season. Most of these tax

deductions are items that taxpayers encounter frequently. Keep in mind, however, that this is a small list

of the most important tax deductions and that there are many others that could apply to your individual

case. Always discuss any big changes in your life with your tax preparer in order to ensure that you will

receive any tax savings that you are due.

  • Real Estate Taxes: Property taxes paid on a home that you own are tax deductible. These taxes

include both real estate taxes and personal property taxes.

  • Home Sale Expenses: Commissions and closing costs on the sale of property are tax deductible

expenses. Such expenses include interest, certain mortgage points and deductible real estate

taxes, among other things.

  • Moving Expenses Related to Employment: If you end up having to relocate in order to start a

new job (as long as the move is a minimum of 50 miles from your current residence), you can

deduct most of the moving expenses.

  • Charitable Donations: All charitable donations are tax deductible as long as the charity to which

the donation is made is classified as a legitimate charity. The following is a link to a great

resource guide for charities: https://www.charitynavigator.org/. It is important to note that

proper documentation is required in order to claim a charitable contribution as a tax deduction.

This being the case, it is important to keep an accurate record of all charitable donations made

during the tax year.

  •  Independent Contractor Expenses: If you are self-employed, you may be able to deduct 50% of

your self-employment taxes. These are taxes that you would normally pay your boss but, in this

case, it is you since you actually employ yourself. It also worth mentioning that you may be able

to deduct some retirement fund costs and some important health insurance expenses as well.

  • Write-Offs for Business Equipment and Materials: This tax deduction applies to business

owners and the self-employed. Usually one can deduct the price of business equipment and

machinery over the lifetime of the resource. However, there are certain provisions in the tax

code (Section 179 – https://www.irs.gov/publications/p946/ch02.html) that speed up the rate at

which these expenses can be deducted. For example, if you purchased a copy machine during

this past year, you may be able to write most or even all of it off on your 2015 tax return.

  • Costs for Work Education Courses: A tax deduction is allowed for educational expenses (books,

courses, etc.) to the extent that they required by law or your employer or if they are needed in

order to maintain or improve your skills at your current employment position.

If your business is seeking an outsourced bookkeeping solution, the experienced professionals at

Orange County Bookkeeping can provide you with the expertise you are looking for. Our licensed

accountants and bookkeepers are equipped to serve Orange County businesses of any size,

structure or industry focus. Visit us today at www.ocbookkeeping.com to learn more about our full

range of bookkeeping, tax and business consulting services. Contact us by phone at (949) 242-9852

or by email at info@ocbookkeeping.com to receive a free, no obligation consultation.

Leave a Reply