Are You Paying Too Much In Taxes?

ARE YOU PAYING TOO MUCH IN TAXES? Maximizing your deductions for Students and Job Seekers STUDENT LOAN INTEREST DEDUCTION <$75,000 Payments $2,500 If your modified adjusted gross income (MAGI) is less than $75,000, there's a Student loan interest includes required and voluntary payments for the year If eligible, the deduction can reduce the amount | of your income subject to tax by up to $2,500 special deduction allowed for paying interest on a qualified student loan Source: http://www.irs.gov/uac/Tax-Benefits-for-Education:-Information-Center TUITUION AND FEES DEDUCTION This deduction may reduce the amount up to of your income subject to tax by $4,000 Your MAGI cannot be higher than $80,000 The deduction is taken as an adjustment to income Source: http://www.irs.gov/uac/Tax-Benefits-for-Education:-Information-Center NEW SIMPLIFIED HOME OFFICE DEDUCTION You can't claim depreciation so if you sell your home you won't get hit with a taxable gain bill! FOR SALE The standard deduction is $5 per square foot of home -- up to 300 square Home-related deductions can be claimed in full on Schedule A rather being split Source: http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Simplified-Option-for-Home-Office-Deduction BUSINESS DEDUCTION FOR WORK-RELATED EDUCATION You may be able to deduct your expenses for qualifying work-related education Work-related education expenses may also make you eligible for benefits like the tuition directly from your self-employment and fees deduction and the lifetime income learning credit Education must be required by your employer or the law and must maintain or improve your skills in your present job Source: http://www.irs.gow/uac/Tax-Benefits-for-Education:-Information-Center JOB SEARCH DEDUCTIONS Eligible Deductions: Present New Occupation Occupation You may deduct certain expenses if you were looking for a new job in your present occupation If you're looking for a job in a new occupation you cannot deduct these expenses Employment and outplacement agency fees, resume prep, travel and transportation expenses Source: http://www.irs.gov/publications/p529/ar02.html