Five Tax Deductions Many Tax Payers Overlook

With tax season coming to a quick close in just under a month, many filers are busily preparing their paperwork to file their income taxes at the last minute. With the kids beginning spring break and Easter all happening in the next few weeks, it’s easy for many taxpayers to just hold off on filing for the time being. It means many will file at the last possible second and likely forget a few deductions that maybe you knew you could claim or that you might not have a clue are even items you can claim. With that in mind, we want you to get the most for your money, and we have a few reminders; don’t forget to claim these deductions if you qualify. You don’t want to lose out on money in your pocket because of a simple oversight.

Job-to-Job Mileage

Working two jobs might not be your idea of a dream situation, but there is one silver lining; you can claim the mileage you drive between your jobs if you go from one to the other. Let’s say you teach second grade during the day and you wait tables at a local restaurant in the evenings. So long as you drive from school to the restaurant with no detour home first, you can claim your mileage between jobs.

Hosting a Foreign Exchange Student

If you are the type of family who does things like this, you might be able to qualify for a tax deduction. You must have an official agreement with an organization to host, and you can deduct up to $50 for every month the student lived in your home longer than 15 days.

Alimony

No one wants to pay alimony but if you do, you can at least claim it on your income tax return and lower your tax liability a little. To claim alimony, you and your ex must live in separate homes and you must be at least legally separated if not divorced.

Tools

If you work for a company that requires you have your own tools such as a mechanic or even a construction worker, you might be able to write those off. If your tools cost at least 2 percent of your AGI (adjusted gross income) for the year, it looks good for you.

Miles Driven to Rental Properties

Do you have a rental house? If you do, you can deduct the miles you drive to and from this home you are renting to someone else if you are handling an issue at the home, maintaining it or responding to an issue with your renter.

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