Tax season is upon us and we all want to get as much out of our return as possible. Some expenses we all know are deductible, but what about those other common expenses that we are unsure about? Here is a list of some common expenses that explains whether or not they are deductible.
• Home or Apartment Rent - For the most part living expenses are not deductible. You may be able to claim at least a portion of your rent if you work from home and claim a home-office deduction. If your home office expenses can be clearly separated from your living expenses, for example, if your home office is a separate structure from your house, like a garage or a studio, then you can deduct those operating expenses - including the rent.
• School Uniforms - These are not deductible. Even if they are required, the IRS will not accept deductions.
• Resume Distribution - Were you one of the many people on the job hunt this year? If so you could be in luck because yes, you can deduct expenses related to your job hunt. Acceptable deductions related to your job hunt include the cost of paper, printing, stamps and any expenses incurred for posting your resume online. The only catch is that you must have been searching for a job in the same profession that you previously held.
• Gifts to Foreign Organizations - This expense has a few exceptions but for the most part the answer is no, they are not deductible.
• Cheerleading or Sports Camp - For most taxpayers, the answer is no because camps such as these are considered personal expenses. This expense is only tax deductible if you are a professional cheerleader or athlete.
• Home Landline - Even if you use your home's landline for business the IRS does not accept this expense as tax deductible. There is one small exception for those who may deduct costs related to long distance charges that are made for business purposes.
• Exercise Machines - Even if it is recommended by your doctor to improve your health, exercise equipment is not deductible.
• Bus Pass - Public transportation has many benefits and is very popular in big cities. However, this is not a deductible expense. The IRS considers bus passes to be a nondeductible commuting cost.
• Private School - Generally no, this cost is not deductible. However, if your child is below the kindergarten level, in nursery school, preschool or a similar type of program that is qualified as child care the expense can be deductible. Also, any expenses for before or after school care for kindergarten or higher grade children may be deductible if the cost qualifies as child care.
• Pregnancy Tests - Yes. Any form of a diagnostic test, like a blood sugar test, is deductible.
• OTC Medication - Nonprescription medication is not a deductible expense. In some cases, prescription-based medications to aid in quitting smoking can be deductible.
• Breast Pumps - The IRS has recently changed its position regarding breastfeeding supplies and now considers the expense deductible.
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