Here's a quick breakdown to help you file your personal taxes. So, let's go over what you can cannot do.
- Let's begin with what you used to do and can't do anymore.
Don't think about collecting all of the employee expenditures that your employer has never bothered to reimburse you. They're no longer deductible- whether they surpass 2% of your adjusted gross income or not.
- Next are those that are never-ever.
- Fines and Penalties
- Commuting is not deductible
- Lobbying is not deductible
- Campaign contributions
- Club dues
- Moving expenses.
- Ones that are back
Congress retroactively amended the tax code with the budget reconciliation bill. In particular, this change can help many folks reconsider if they can itemize this year.
Medical Expenses. As long as they exceed 7.5% of your adjusted gross income, it can be accommodated. The money spent below the threshold is all yours to spend; above the threshold is Tax deductible.
Gambling losses are deductible. Kind of. As long as your winnings meet or exceed those costs.
Casualty and Theft Losses. Only for income-producing property.
Home offices. You need to have a business- that means Schedule C (proprietorships and gig workers), Schedule E (rental property, K-1 recipients who WORK in that business), and/or Schedule F (farmers) filers.
Special dues. Not clubs- but the chamber of commerce, boards of trade, business leagues, public service or civic organizations, trade associations, professional societies, and real estate boards are specifically approved.
Managing compliance with complex U.S. tax rules and ever-changing filing requirements can feel like a minefield; contact us today for convenience.
Syriac CPA Tax Accounting Services offers the best accounting and bookkeeping services assisting people and businesses across California in all areas at every level of growth. We are the top Tax Consulting Cerritos agency. We offer individuals businesses of all types the chance to cherry-pick from a flexible range of services, including Accountant and Bookkeeping, Business Consulting, Personal and Corporate Taxation, and many more. Syriac CPA Tax Accounting Services offers more than 20years of experience pure expertise in streamlining systems and making substantial savings for all types of businesses. For a free consultation, call Syriac CPA Tax Accounting at 1 (818) 960-9758.
