Deductions and Write-Offs
The most frequently asked tax questions related to Deductions and Write-Offs
What is the amount that receipts for business transportation and entertainment expenses are required ?
Asked Tuesday, January 16, 2001 by an anonymous userCPA Answer:
Generally, IRS no longer requires receipts for business transportation and entertainment unless the expense exceeds $75. A business diary with details of the time, place, person you met with and the reason for the meeting should always be maintained. Your expenses for lodging always require detailed receipts, regardless of the amount.
Child Tax Credit - Partially limited - Carry forward or lost
Asked Tuesday, January 16, 2001 by an anonymous userCPA Answer:
Any unused Child Tax Credit cannot be carried forward to future years.
The credit begins its phase-out at Adjusted Gross Income of $110,000 for married taxpayers filing joint returns.
For single taxpayers or those filing as head of household the threshold is $75,000.
For married filing separate returns the threshold is $55,000.
The credit begins its phase-out at Adjusted Gross Income of $110,000 for married taxpayers filing joint returns.
For single taxpayers or those filing as head of household the threshold is $75,000.
For married filing separate returns the threshold is $55,000.
What are the tax court guidelines for determining if a convention trip is business or personal ?
Asked Tuesday, January 16, 2001 by an anonymous userCPA Answer:
Generally, the tax court guidelines for determining if a trip is business or personal is (a) The primary purpose of the trip is business related, (b) the amount of time spent on personal activity compared with the amount of time spent on the business activity, (c) the location of the convention.
Are the travel costs I incurred to see my Attorney about my investments deductible ?
Asked Wednesday, January 03, 2001 by an anonymous userCPA Answer:
Travel costs to speak with your attorney, CPA, investment advisor about your investments or the production of income can be deducted as a miscellaneous itemized deduction subject to the 2% AGI limitation on IRS Schedule A.
Are the travel costs I incurred to see my CPA about my investments deductible ?
Asked Wednesday, January 03, 2001 by an anonymous userCPA Answer:
Travel costs to speak with your attorney, CPA, investment advisor about your investments or the production of income can be deducted as a miscellaneous itemized deduction subject to the 2% AGI limitation on IRS Schedule A.
Are the travel costs I incurred to see my Investment advisor about my investments deductible ?
Asked Wednesday, January 03, 2001 by an anonymous userCPA Answer:
Travel costs to speak with your attorney, CPA, investment advisor about your investments or the production of income can be deducted as a miscellaneous itemized deduction subject to the 2% AGI limitation on IRS Schedule A.
Depreciation - 179 deduction limitation
Asked Tuesday, January 02, 2001 by an anonymous userCPA Answer:
Self-employed individuals and other small businesses will be entitled to immediately write off up to $500,000 of business equipment purchases in 2016 without having to depreciate the costs over a period of years.
The amount of the 179 deduction is reduced by the cost amount in excess of $500,000 dollars.
The amount of the 179 deduction is reduced by the cost amount in excess of $500,000 dollars.
Blood donation to the Red Cross - deductible ?
Asked Tuesday, January 02, 2001 by an anonymous userCPA Answer:
No. Blood donation to the red cross or hospital or other blood banks is not tax deductible.
Donation to International Charitable organizations
Asked Tuesday, January 02, 2001 by an anonymous userCPA Answer:
Generally, No. Contributions to a foreign charitible organizations or to foreign governments are not tax deductible unless the organization obtained 501 (c) 3 designation from the IRS.