Job related deductions & cheritable deductions.?

Question

Is it true, just because your not a home owner, you can't deduct these from your taxes? Unless it over $10,000.

Answer 1

Here's the deal: You can deduct charitable contributions and certain business-related expenses from your income taxes, but it's not always wise to do so. See, if you itemize deductions, you need to have enough deductions to make it worthwhile because you can either (a) take the standard deduction or (b) itemize your deductions, NOT BOTH. So let's say the standard deduction for you is $10,000.00. If you can only itemize $8,000.00 worth in business-related expenses and charitable contributions, you're better off taking the $10,000 standard deduction. That's why they say you shouldn't itemize unless you're a homeowner -- homeowners can deduct property taxes and interest paid on their mortgage, and that usually ends up being over $10,000.00.

Answer 2

you may itemize or take the standard deduction. if you itemize (charitable deductions, mortgage interest, property taxes, etc.) they would need to exceed the amount of the standard deduction. job related and medical expenses have further restrictions on them. you can itemize job related expenses only in excess of 2% of your adjusted gross income. you can itemize medical expenses to the extent they exceed 7.5% of your adjusted gross income.