Euby is getting off the normal “business theme today” to offer a little info on this “ugly” topic….. TAXES !
Yes…that dreaded day….April 15 th is this week…so it is time to PAY the tax man ! Most of us will be looking for every legal deduction we can find….and there is always the temptation to be as creative as possible….but we must not take deductions that do not meet the IRS guidelines…or we will create problems for ourselves down the line…and can come with penalties and interest! With that in mind…here are 10 no-no’s…..DO NOT deduct 1) Homeowners Insurance ( but you can, under some circumstances deduct the PMI ) 2) Main HOME Telephone land lines ( but you can deduct long distance business calls and if only for business purposes a 2 nd line qualifies ! ) 3) You cannot deduct commuting costs…. but work related travel does offer some deductions 4 ) Your Pet….no…no deduction here ( unless they are “Service Dogs” ) 5) Social Security Taxes are NOT deductible …yet many claim them each year…however, if you over paid in…you can claim that amount as a credit ! 6) Plastic Surgery….You cannot deduct it if simply “cosmetic” ..however…if the good Dr will prescribe the “nose job” to unclog your “sniffer” then you have a legitimate medical deduction as long as your total medical expenses add up to more than 7.5% of your adjusted income 7) There is NO allowance for “volunteer work hours” …however if you have actual travel expenses etc…they an be ! 8) Over the Counter ( OTC ) medications ARE NOT deductible ( unless you have a prescription from your good Dr ) 9 ) children’s overnight Camp Costs….these are NEVER deductible 10) Dry Cleaning – the only exception is Work Uniforms….
Don’t get me wrong…take everything legitimately possible…just stay away from the ones that will certainly get bounced back….as it will cost you more in the end! EUBY