Can I Deduct?

Homeowners Association Fees

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

Homeowners association fees for maintaining common areas are not deductible.
Any fees specifically identified as your portion of taxes and/or interest would be allowable.
If you get a bill without a breakdown, none of the fee is deductible.
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Educational Tax Benefits

Education - Employer Reimbursements

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

You must include in your income reimbursements your employer gave you for expenses of education that you need to meet the minimum educational requirements for your job, or is part of a program of study that can qualify you for a new trade or business.
Your employer will combine the amount of any reimbursement or other expense allowance paid to you under a nonaccountable plan with your wages, salary, or other pay and report the total in box 1 of your Form W-2.
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Educational Tax Benefits

Employer Reimbursements - Accountable Plan

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

If you are reimbursed under an accountable plan, your employer should Not include any reimbursement in your income in box 1 of your Form W-2.
To be an accountable plan, your employer's reimbursement arrangement must require you to meet all three of the following rules.
Your expenses must have a business connection—that is, your expenses must be deductible under the rules for qualifying work-related education.
You must adequately account to your employer for your expenses within a reasonable period of time.
You must return any reimbursement or allowance in excess of the expenses accounted for within a reasonable period of time.
If your expenses are more than your reimbursement, you can deduct your excess expenses on Form 2106.
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Can I Deduct?

Employer Reimbursements - Accountable Plan

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

If you are reimbursed under an accountable plan, your employer should Not include any reimbursement in your income in box 1 of your Form W-2.
To be an accountable plan, your employer's reimbursement arrangement must require you to meet all three of the following rules.
Your expenses must have a business connection—that is, your expenses must be deductible under the rules for qualifying work-related education.
You must adequately account to your employer for your expenses within a reasonable period of time.
You must return any reimbursement or allowance in excess of the expenses accounted for within a reasonable period of time.
If your expenses are more than your reimbursement, you can deduct your excess expenses on Form 2106.
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Form W-2

Employer Reimbursements - Accountable Plan

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

If you are reimbursed under an accountable plan, your employer should Not include any reimbursement in your income in box 1 of your Form W-2.
To be an accountable plan, your employer's reimbursement arrangement must require you to meet all three of the following rules.
Your expenses must have a business connection—that is, your expenses must be deductible under the rules for qualifying work-related education.
You must adequately account to your employer for your expenses within a reasonable period of time.
You must return any reimbursement or allowance in excess of the expenses accounted for within a reasonable period of time.
If your expenses are more than your reimbursement, you can deduct your excess expenses on Form 2106.
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Can I Deduct?

Newsletters for tax planning

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

You can also deduct seminars, workshops, software, books, reports, newsletters and publications that provide tax planning and preparation advice and information.
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Can I Deduct?

Unamortized Points - mortgage interest

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

The “unamortized” points from a refinanced home mortgage, when the mortgage loan that generated the points, is refinanced again or is paid off early with a new lender, or the property is sold, is another real-estate-related expense that you can deduct as an Itemized deduction on Schedule A, as mortgage interest.
When you refinance a home mortgage, any points charged on the loan must be deducted, or amortized, over the life of the mortgage.
When the mortgage is paid off early, the balance of the points may be deducted in full in the year the loan is paid off.
Note that If you refinance with the same lender you must continue to amortize the points on the original loan, in addition to any points charged on the new loan.
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Can I Deduct?

Education - Employer Reimbursements

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

You must include in your income reimbursements your employer gave you for expenses of education that you need to meet the minimum educational requirements for your job, or is part of a program of study that can qualify you for a new trade or business.
Your employer will combine the amount of any reimbursement or other expense allowance paid to you under a nonaccountable plan with your wages, salary, or other pay and report the total in box 1 of your Form W-2.
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Educational Tax Benefits

Employer Reimbursements - Education = Nonaccountable Plan = W-2 box 1

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

You must include in your income reimbursements your employer gave you for expenses of education that you need to meet the minimum educational requirements for your job, or is part of a program of study that can qualify you for a new trade or business.
Your employer will combine the amount of any reimbursement or other expense allowance paid to you under a nonaccountable plan with your wages, salary, or other pay and report the total in box 1 of your Form W-2.
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Form W-2

Employer Reimbursements - Nonaccountable Plan

Asked Tuesday, February 28, 2012 by an anonymous user

CPA Answer:

Your employer will combine the amount of any reimbursement or other expense allowance paid to you under a nonaccountable plan with your wages, salary, or other pay and report the total in box 1 of your Form W-2.
You can deduct your expenses regardless of whether they are more than, less than, or equal to your reimbursement.
Reimbursements you received for nondeductible expenses are treated as paid under a nonaccountable plan. You must include them in your income.
You must include in your income reimbursements your employer gave you for expenses of education that you need to meet the minimum educational requirements for your job, or is part of a program of study that can qualify you for a new trade or business.
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