6 Ways You Might Be Eligible for a Tax Write-Off : vimarsana

6 Ways You Might Be Eligible for a Tax Write-Off


6 Ways You Might Be Eligible for a Tax Write-Off
Michael McDonald
April 7, 2021, 9:00 AM
A woman sits at her dining room table with laptop and financial reports doing her monthly budget.
Tax season is here, and people are scrambling to find every opportunity to get the biggest tax write-offs possible. There are plenty of esoteric deductions, but those savings are relatively small for most people.
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Last updated: April 7, 2021
Woman working on computer in her home office during pandemic quarantine.
                         1. Job Expenses
Even if you are not self-employed, some career expenses might be deductible. To be eligible, the expenses must be necessary for you to do the job for which you were hired. In addition, you must itemize your deductions, and the total costs must exceed 2% of your adjusted gross income.Job-related licenses and regulatory fees are deductible for many people. From real estate agents to medical doctors, many professions have licensing requirements and related fees that are deductible up to the amount spent for licensure.If you are going to claim such a deduction, make sure you have the receipts for those expenses, and that the fees incurred correspond to your profession. Becoming a licensed scuba diver is unlikely to be a valid deduction for a medical doctor.Other job-related costs that might be deductible include money spent on education related to your job, subscriptions to job-related journals and periodicals, and medical tests required for work. If you had to pay for a drug test to get a new job, or you subscribe to the Wall Street Journal for work, both are deductible.Elementary and secondary school teachers also can deduct up to $250 in expenses for supplies they have purchased for their classrooms. In general, you can deduct any unreimbursed travel costs — not including commuting costs — related to your job.

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