We own our own home. We have a mortage but the interrest in it is under $3000 per year.
We have no children.
While we give to a charity it's probably less than $300 per year.
Are there any deductions we can use?
2007-01-30 13:24:17 · 5 answers · asked by jdnmsedsacrasac1 4 in Business & Finance ➔ Taxes ➔ United States
If you paid premiums on medical insurance, even if was taken out on your paycheck is deductible over 7 1/2% of your net income. That medical would also include all monies paid out of your pocket, doctors copay, prescriptions, dentists, mileage to and from doctor appointments, etc.
Your entire real estate tax, sales tax and personal property tax if you pay it in your state.
Charity also includes any items such as clothes, furniture etc to charitable org.
If you have any investments and pay fees for someone to advise you how to invest that money, it is deductible over 2 1/2 % of your net income. Also any clothes if you have a job that requires you to wear a uniform,, cleaning of that uniform, also any safety equipment, such as steel toed boots or shoes for construction wks.
If you find the $10,300 standard deduction is higher than your deductions, PLEASE DON'T FORGET to take the CREDIT for the Telephone excise tax. For 2 people it is $40 if you had a telephone after March 1993. This is a one time credit this year and you need to check the box on the back of the 1040 or if your not required to file taxes, go to you library and pick up a 1040T, VERY easy. Just name, address, ssn, and check the box that asks if you had a phone since 1993.
2007-01-30 13:42:01 · answer #1 · answered by Anonymous · 0⤊ 0⤋
State Income taxes or sale taxes are big ones depending on the state you live in. Real estate taxes can also be deducted since it looks like you own your home. Also if you had a lot of out of pocket medical bills those are dedcutible over 7.5% of AGI (Adjusted Gross Income) Home Equity Loan interest is also deductible. Those are the biggest ones that are most common. If you have any school loans or pay for college those may be used as credits depending on your income level. More than likely with that small amount of interest you will be looking at the standard deduction unless you have high amounts of any of the above mentioned.
2007-01-30 21:43:37 · answer #2 · answered by JSK 1 · 0⤊ 0⤋
Probably not, unless you have extremely high medical bills or casualty losses or real estate taxes. The standard deduction this year for married filing joint return is $10,300, so that sounds like it would be better for you than trying to itemize.
2007-01-30 21:31:20 · answer #3 · answered by Judy 7 · 0⤊ 0⤋
Look very close at the standard deduction.
2007-01-30 21:35:33 · answer #4 · answered by Nusha 5 · 0⤊ 0⤋
Try 1040EZ with schedule M.
2007-01-30 21:31:56 · answer #5 · answered by Anonymous · 0⤊ 0⤋