Ah, tax season–everybody’s favorite time of year. All right, maybe not, but that refund check is a pretty nice reward for all that trouble and stress. If you’re like everyone else, you’re determined to get every penny back that you’re owed, but you’re probably still overlooking a lot of deductions you might not know about. Tracking your expenses wisely and researching your tax options on certain purchases can help you get the most money back. Here’s a small list of commonly overlooked deductions to get you going:
- Job-related moving expenses if your new employer does not reimburse you
- Job-seeking expenses relating to your current employment
- Home office expenses if you own a home business (be forewarned, the guidelines here are pretty strict)
- Business expenses not reimbursed by your employer, such as travel, meals, and lodging
- Union dues
- Education expenses relating to your current employment
- Student loan interest
- Tuition and fees for certain qualifying higher education expenses
- Charitable donations (and it’s not just money anymore-you can itemize clothing and other material donations)
- Medical transportation expenses, such as parking and gas mileage for visits to the doctor, labs, clinics, etc.
- Medical aids like crutches, orthopedic shoes, hearing aids, glasses, contacts, etc., including equipment for handicapped people
- The cost of drug and alcohol rehabilitation programs
And finally,
- Fees for tax preparation or advice
That last one sounds pretty good, especially if your tax preparation fees will eat up a decent amount of your refund. There are many more tax deductions out there, and each one can get more specific. Of course, you do want to check on the guidelines and restrictions for each one to make sure you qualify. For example, if you experience any casualty losses, you can deduct that, but the amount must be more than the sum of $100 and 10% of your adjusted gross income. You could take the time to figure it out, only to find that you don’t qualify.
But don’t let the restrictions hold you back. You might find an available deduction that will bring you an even nicer tax return, and that could be worth all the time you spent looking.
