COMMONLY OVERLOOKED TAX DEDUCTIONS

Child Tax Credit If you have a child it is important to remember that they are not only an exemption, but you may qualify for the Child Tax Credit. This credit can reduce your taxes by up to $1,000 however the credit is phased out for higher income tax payers. Child Care Credits If you send your child for daycare, you may qualify for a credit. You simply have to document how much you paid for the services and who you paid that money to. You will need the social security or employer identification number of the provider. Education Credits and Deductions If you have a child in school in they are still claim them as a dependant you may qualify for up to $2,000 in education credits. It does not matter who actually pays the bill for the school because the credits follow who claims the exemption. Like the Child Tax Credit, this credit phases out for higher income taxpayers.

Denise's son Aidan wearing his "Im DeDucktible" shirt from Mike & Rebecca Bark.

IRAs If you or your spouse are not covered by a retirement plan at work (401k, Pension etc) you can contribute up to $4,000 to an IRA. Those over 50 years old are allowed to contribute an additional $1,000 to an IRA. Mileage Most people do a good job tracking their charitable contributions and medical expenses, but mileage for both of these is also deductible. Gambling Losses If you hit it big at the Casino, the IRS allows you to deduct gambling losses to the extent of your winnings. It is important to keep receipts documenting your losses. Health Insurance Premiums for the Self-Employed If you are self employed, the amount you spend on health insurance premiums is deductible.