Questions tagged [tax-deduction]

To be used for any question related to tax deductions.

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1answer
53 views

Question on the IRS Form 1098-T

Is this a new form? I was doing TurboTax and I filled out the information and it wouldn't let me submit my tax refund because it said the IRS is still working on the forms. I did read something that ...
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1answer
210 views

How much income tax should I expect to pay

I need help. My previous employer is confusing me and wont pay all my wages. I work at this retail job for one month, November 2017,and left after i was told i would be paid two weeks into december. ...
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1answer
52 views

Carrying forward a 'personal loss' due to itemized deductions

I have $0 AGI this year, after claiming the Foreign Earned Income Exclusion, and have repaid some student loan interest. The additional itemized deduction from the interest payment creates no benefit ...
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92 views

Under new federal tax bill, can I save taxes by not doing payroll anymore for my single employee (me) S-CORP?

Will paying myself only shareholder distributions instead of payroll, and using the new 20% QBI deduction on my QBI of $300k save me more taxes under the new federal tax plan, and allow me to ...
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2answers
70 views

If I sell positions in my IRA that were bought with non-deductible contributions, do I need to pay capital gains tax?

My IRA has a mixture of deductible and non-deductible contributions. I want to sell off some positions that I bought. Normally I would not need to pay capital gains tax, but if the positions were ...
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1answer
1k views

Can COBRA-premiums be paid for pre-tax?

I have the option to remain on the previous employer's COBRA for the foreseable future. Their plan is much nicer than what my new employer is offering while being only a little more expensive. ...
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1answer
80 views

Does the New Tax Bill Affect 2017 Taxes For Flow Through Entities / S Corp?

Will the new tax bill affect flow through entities' / S Corps' 2017 tax rates? Specifically, will you be able to take advantage of the new 20% deduction for 2017?
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1answer
55 views

Paid auto registration tax twice in 2017, can both payments be deducted?

The tax on this one vehicle is due January but has a 30 day grace period. Bill usually arrives in early Dec. I paid the tax in Feb 2017, and then again in Dec 2017. Can I tell TurboTax that I paid ...
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1k views

Hiring Foreign Contractors - Is This Tax Deductible?

I have a small start-up business in the US and I'm going through freelance sites like freelancer.com to get some work done. The appeal of this is that the rates for foreign contractors is often less ...
6
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1answer
573 views

Can I deduct expenses to my previous tax year if I haven't done my taxes yet?

If my business made $100,000 during last tax year (Jan 1 2017, Dec 31 2017), and I haven't done those taxes yet, but need to buy equipment in January of 2018, can I deduct those expenses from my 2017 ...
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147 views

750K mortgage and 10K property tax deduction limit - applies to LLC?

Does the 750K mortgage and 10K property tax deduction limits apply only to individuals, or LLC and other corporations as well? Follow-up question: if someone split up property ownership between an ...
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2answers
8k views

How much of my state income tax refund is considered taxable income?

Under the previous tax law, if you itemized and deducted your state income taxes but then got a state income tax refund, the refund was considered taxable income in the subsequent year's federal ...
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0answers
21 views

How to save some tax exemption on NJ state tax?

How to save some tax exemption on NJ state tax ? Though question is broad, considering single person live and working in NJ looking to have some tax breaks on state tax?
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2answers
106 views

What are my options for tax deductions if buying a house for my sister (complicated)

I am looking at buying a home for my sister to live in and I am trying to figure out if I can deduct any of the interest/payments. This is a pretty special case from what I can tell - I can't tell if ...
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1answer
227 views

What is the status of AGI reductions in 2018 US individual tax returns?

It is anticipated that the GOP tax reform will be become law this afternoon. In anticipation of that I was doing some last minute 2018 tax planning as it applies to deductions. Currently my joint ...
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5k views

What's my tax situation if I earned $20k, age 22, and live with parents?

I'm a bit confused about what to expect when I file tax returns. I heard my parents can't claim me as a dependent because I earned more than $6k for the year. What's the situation if I live with them ...
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1answer
158 views

Can salary sacrifice pension contributions move you into a lower tax bracket for Capital Gains Tax?

If a person is paid over £45,000 per year then they are a Higher Rate taxpayer and pay Capital Gains Tax at 20% If that person pays into their salary sacrifice pension and reduces their taxable ...
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243 views

Taxes and health insurance: Find SLCSP (second lowest cost silver plan) before 1095As are issued

To do 2017 end-of-year tax planning, I need to know the second lowest cost silver plan (SLCP) for my Colorado zip code. I've tried searching my health insurer's site, the state marketplace site, and ...
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1answer
46 views

Deduction for self employed plus employer income

If someone has two income streams. Main through an employer and a self employed income streams. Can they take standard deduction for their income through employer but also file itemized deduction for ...
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1answer
394 views

Does loss in stock market count against standard/itemized deduction?

I read some articles on the internet but I am still confused. None of the articles seem to give me an answer that I am able to understand. As far as I understand, I can either apply the Standard ...
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0answers
55 views

Can I claim a credit / deduction on my “personal income tax” for the “city corporate income tax” that my LLC company located in NYC had to pay?

I live in Chicago, which does not have city income tax. My company is a LLC incorporated in NYC, which has city income tax. So my understanding is that my company needs to pay "city income tax" over ...
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0answers
142 views

How will the new tax bill benefit an S-corp individual?

While driving, I heard on some news program that flow-through people can deduct more from direct income from their business than indirectly through payroll (such as ADP). Will the new tax bill let me ...
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1answer
4k views

Can I expense when buying my own lunch

I am organized as a single member LLC. And I work from home. I see that some corporations buy their employees lunch and expense it. My question is... Can I order lunch or go out to eat by myself and ...
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1answer
111 views

Tax deduction for stuff I bought before LLC was formed?

I bought $10,000 worth of materials (with my personal credit card) for a new business. I formed a domestic LLC (USA) about 3 weeks later. Can I "sell" or "transfer" this startup cost to my LLC (which ...
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1answer
2k views

Can I use the new tax law to help with private school?

We live in a city that has a very low rated school system, therefore we have been enrolling our 2 children in a private school that costs $12,000 per year per child. This comes with quite a bit of ...
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1answer
504 views

Ability to claim an undocumented alien adult as a dependent

I am trying to determine if it is possible to claim an undocumented alien as a dependent for tax purposes during 2017 in the United States (form 1040 line 6c) as well as a credit for money spent for ...
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2answers
190 views

Is DIY car repair work deductible in any way when self-employed?

I am self-employed and I am proficient at repairing vehicles. I use my vehicle exclusively for work: my customers ask me to drive to one of their customer's location and I provide a service on site. I ...
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1answer
80 views

Can start-up expenses offset other business income?

I get 1099 income for my LLC as a data programmer. I spend 30 hours/week writing a non-programming-related book from which I hope to have income in a year or two, but it's only expenses for now. I don'...
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70 views

File as an S-Corp to retain deductions after new US tax bill

According to https://www.forbes.com/sites/groupthink/2017/11/28/small-businesses-cast-jaundiced-eye-at-tax-reform-proposals/, should the current tax reform bill pass into law: "corporations would ...
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1answer
155 views

VAT on purchasing home abroad (Italy)

I am a US permanent resident considering buying a property in Italy. This will entail a 10% VAT on the home value. Can I declare this as a tax credit or as a tax deduction for my US taxes? (Please ...
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53 views

US Federal IT: If the deductions proposed to be eliminated are eliminated, will the AMT be a toothless tiger?

The House and Senate tax reform bills between them propose to eliminate deductibility of state and local taxes and cap mortgage deductions for mortgages greater than 500K, plus eliminate the Medical ...
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1answer
387 views

Do state disability contributions that are federally deductible remain so if employer-paid?

According to the IRS, mandatory employee contributions to state disability insurance, such as California SDI, are included in "state and local income taxes" that federal taxpayers who itemize on ...
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1answer
406 views

GST & TDS for international money - advertisement platform

Am from India and I've created an online platform(a webbased application) where ADVERTISERS can list ads(or campaigns) and PUBLISHERS can use this ads and promote them. So when ADVERTISERS pays me, ...
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0answers
48 views

Can I claim school expenses including tuition that was paid out of pocket on my taxes [duplicate]

As I stated above I am wondering if I can claim my school expenses on my taxes for this year's taxes. If it is possible how would I do so and will I get a better return because of it? I am in the ...
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2answers
69 views

Can I take a tax deduction for capital equipment, even if my business does not make a profit? [closed]

So I just purchased a piece of property and I have designs on trying my hand at farming. I'm well aware of how difficult that is in and of itself. In the short term, I'm going to purchase some ...
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2answers
126 views

Can I deduct the cost of an out-of-pocket medical visit on my taxes?

Say I visit a specialist -- like an orthodontist -- without any insurance. I pay for everything out-of-pocket -- no insurance/deductibles/payment sharing plans/etc. I pay several thousands for the ...
3
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2answers
586 views

L1 Visa Tax for working more than 183 days in US

I am an engineer from Malaysia and I will be working in the US starting 1st of March 2018. I know that I need to pay tax for my March income but do I need to pay to IRS for my previous months income (...
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1answer
182 views

How detailed do itemized deductions have to be? (source needed)

how detailed do itemized deductions need to be? I get the impression that one could just write the total amount of deductions in one line and be done with it. In the event of an audit the taxpayer ...
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1answer
360 views

As a contractor, if my business makes no net profits, do I owe taxes?

Have been working full time, switching to at least part time contract work. I'm looking at starting a company and having all my contract pay go through it. Assuming I'm also working at least part ...
4
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1answer
533 views

Dependent Care FSA: What if my spouse is a full-time student AND works?

I work full-time. My employer provides access to a dependent care FSA. My wife goes to school full time and as a result we have dependent care expenses for two eligible dependents. She also works part ...
4
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2answers
248 views

Given the changes to income tax rates, should I change my 401(k) strategy?

With a new standard deduction of $24,000, how does that change my strategy for whether to put my $18,000 of 401(k) money in a Roth vs. a traditional account? What new strategies (particularly with tax-...
4
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1answer
380 views

Can I deduct donated PTO from my taxes?

My company administers a program where employees can donate Paid Time Off (PTO) to fellow employees experiencing a hardship. Can I deduct the value of the PTO I donate from my taxes? Presuming that ...
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1answer
79 views

Is an account transfer fee paid for transferring a Roth 401(k) to a Roth IRA tax-deductible?

I rolled over a Roth 401(k) to a Roth IRA and was charged a fee by the outgoing financial institution. This fee was paid from the account balance. Is this fee deductible as an investment expense? If ...
3
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1answer
70 views

Tax deduction for unclaimed commuter benefit

I paid for a few months of a commuter benefit I never used, then left that employer. According to §1.132–9 in the CFR, these funds can't be returned by employers (see Q-14/A-14). So I basically gave ...
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1answer
78 views

Does UK personal allowance include NIC contributions?

I have ended an internship in the UK and am now studying there. I am planning to fill in a P50 form since I earned less than £11,500 and I'm not going to work again during this tax year. I paid ...
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3answers
129 views

Commuter tax benefits when joining a company mid-year: can I deduct 12*monthly_max, or is the deduction prorated?

I've lived in the US since 2013. I used to be a student in Massachusetts till last July, when I joined a company full-time in California. I read (mirror) that: the tax code allows tax-free ...
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1answer
222 views

Contribute to RRSP without deducting - how long can the deduction claim be deferred?

This question establishes that one can contribute to their RRSP without deducting for the year of the contribution. Additionally, this link from CRA's site has the question "What RRSP, PRPP, or SPP ...
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1answer
101 views

Can I deduct personal loans or use them as tax “write offs?”

Say I loan $5,000.00 to a relative, and they still owe the majority of that amount after many years of no payment. Can I just vaguely write off this number, assuming the money was lent as cash, hand-...
2
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1answer
107 views

Health insurance premium tax deduction if I'm a W2 with an employer who offers no insurance?

I'm currently self-employed as an LLC (USA) with a sole proprietor tax structure. I have private health insurance and I enjoy the tax deduction for my premiums. However, I have an opportunity come ...
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1answer
82 views

Tax benefits for college expenses?

So this past year, I have held 2 jobs. One was a part-time job while going to school. Other was a tech summer internship. I am 22 years old, so my parents can claim me as a dependent. You can say my ...