Common Deductions That Are Missed

MEDICAL DEDUCTIONS:

  • Transportation expenses (i.e. tolls, parking, mileage) for trips to health facilities, doctor's offices, laboratories, etc.
  • Nursing home expenses that are mainly for medical care.
  • Part of the "life-care" fee paid to retirement homes designate for medical care.
  • Wages for nursing services.
  • Hospital fees for services such as nursing, physical therapy, lab tests, x-rays, etc.
  • Medical aids such as: crutches, canes, orthopedic shoes, hearing aids, eye glasses, and contact lenses.
  • Seeing eye dogs for the handicapped.
  • Equipment for disabled or handicapped individuals.
  • The cost of alcohol, drug-abuse, and certain smoking-cessation treatments.

WORK-RELATED DEDUCTIONS:

  • Expenses for job-seeking within your present field of employment.
  • Employment agency fees or commissions in certain cases.
  • Home office expenses, if your primary place of business.
  • Hobby expenses related to hobby income you included in gross income.
  • A handicapped individual's work-related expenses.
  • Guard dogs for business use.
  • Professional journals, magazines and newspapers that are job-related.
  • Cost of safe-deposit box used for business or investment use.
  • Business gifts up to $25 per client or customer.
  • Self-employed health insurance premiums.
  • Mandatory contributions to state disability funds.
  • Required uniforms and/or work clothes not suitable for street-wear.
  • Tools for use at your job.
  • Cellular phones required for business.
  • Business expenses including travel, meals, lodging and entertainment not reimbursed by your employer.
  • Cleaning and laundering services while traveling for business.
  • Moving costs related to a new job.

WORK-RELATED DUES:

  • Dues to professional organizations.
  • Union dues.

CHARITY-RELATED DEDUCTIONS:

  • Cash and non-cash contributions to a qualified charity.
  • Mileage incurred while performing charitable activities.

TAX-RELATED DEDUCTIONS:

  • Half of the self-employment tax paid.
  • Fourth quarter estimated state taxes paid by December 31 of the year.
  • State Income taxes owed from a prior year and paid in the current tax year.
  • Taxes paid to a foreign government.
  • Personal property taxes on cars, boats, etc.
  • General sales tax deduction (including tax paid on large items such as cars or boats) in lieu of the income tax deduction.

EDUCATION-RELATED DEDUCTIONS:

  • Student loan interest.
  • Special school costs for mentally or physically handicapped individuals.
  • Education expenses you paid to maintain or improve job skills.

PROFESSIONAL FEES:

  • Fees for tax advice and/or preparation.
  • Legal fees to collect taxable alimony or Social Security.
  • Commission to brokers or agents for the sale of property or property management.

MISCELLANEOUS DEDUCTIONS:

  • Reservist and National Guard overnight travel expenses.
  • Worthless stock or securities.
  • Alimony paid (not child support).
  • Penalty on early withdrawal of savings.
  • Point paid on mortgage or refinancing.
  • Gambling losses to the extent of your gambling winnings.
  • Services of a housekeeper, maid or cook needed to run your home for the benefit of a qualifying dependent while you work.
  • General casualty and theft losses in excess of $100 and totaling more than 10% of adjusted gross income.