Big Tax Break for Adoptive Parents

Big Tax Break for Adoptive Parents

If you are an adoptive parent or are planning to adopt a child, you may qualify for a substantial income tax credit. The amount of the credit is based on the expenses incurred that are directly related to the adoption of a child under the age…
What Does a Tax Deduction Save You?

What Does a Tax Deduction Save You?

Taxpayers frequently ask what benefit is derived from a tax deduction.  Unfortunately, there is no straightforward answer.  The reason the benefit cannot be determined simply is because some deductions are above-the-line, others must be itemized,…
Congress Green-Lights Some Alternative Vehicle Credits

Congress Green-Lights Some Alternative Vehicle Credits

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To encourage U.S. taxpayers to move away from gasoline-powered motor vehicles, over the years, Congress has provided various tax credits for purchasing electric or alternative fuel vehicles. These credits generally come with an expiration…
Mortgage Insurance Premium Deduction Retroactively Extended

Mortgage Insurance Premium Deduction Retroactively Extended

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On December 20, 2019, President Trump signed into law the Appropriations Act of 2020, which included a number of tax law changes, including retroactively extending certain tax provisions that expired after 2017 or were about to expire, a number…
Congress Allowing Higher Medical Deductions for 2019 and 2020

Congress Allowing Higher Medical Deductions for 2019 and 2020

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On December 20, 2019, President Trump signed into law the Appropriations Act of 2020, which included a number of tax law changes, including extending certain tax provisions that expired after 2017 or were about to expire, a number of retirement…
Year-End Tips for Charitable Contributions

Year-End Tips for Charitable Contributions

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As the end of the year and the holiday season approach, we will all see an uptick in the number of charitable solicitations arriving in our mailboxes and by email. Since some charities sell their contributor lists to other charities, frequent…
Deducting the Costs of Modifications for Senior-Proofing a Home

Deducting the Costs of Modifications for Senior-Proofing a Home

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While Americans may argue about any number of hot-button political topics, there’s no disagreement on one issue: the country’s population is aging…fast. According to the Social Security Administration, 10,000 baby boomers a day are reaching…
Disaster-Related Tax Losses May Be Less Than Expected

Disaster-Related Tax Losses May Be Less Than Expected

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The late-2017 tax-reform package changed the rules for personal casualty losses, which now are only deductible if they occur in a federally declared disaster area. As a result, if a home is destroyed in a forest fire or other disaster within…
How to Write Off Worthless Stock

How to Write Off Worthless Stock

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If you are like most investors, you occasionally will pick a loser that declines in value. Sometimes, a security can even become worthless when the issuing company goes out of business. Gains and losses for securities, including stock,…
How Does Combining a Vacation with a Foreign Business Trip Affect the Tax Deduction for Travel Expenses of a Self-Employed Individual?

How Does Combining a Vacation with a Foreign Business Trip Affect the Tax Deduction for Travel Expenses of a Self-Employed Individual?

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Note: effective for years 2018 through 2025, the Tax Cuts and Jobs Act of 2017 suspended the deduction of miscellaneous itemized expenses that must be reduced by 2% of the taxpayer’s adjusted gross income. Employee business expenses, including…