Charitable Deductions

How much of a deduction can I take for my donated goods?

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

There are valuation guides available to the public to calculate an amount for noncash contributions.
You can go to the Salvation Army website to view their Donated Goods Valuation Guide at www.salvationarmyusa.org
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Charitable Deductions

How much am I allowed to claim as a charitible cash deduction?

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

The answer is, how much did you contribute and how much can you substantiate.
For contributions of $250 or less, a cancelled check or credit card statement is sufficient.
A written acknowledgement from the charity documenting the contribution's amount and date is also acceptable
For contributions of $250 or more, you must have written substantiation from the organization. A cancelled check is not sufficient.
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Accounting Terminology

If I get work done on my house, can I use it as a tax deduction?

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

Improvements to your Residence are not deductible.
The costs are added to your initial cost basis to calculate your increased adjusted cost basis.
Your increased cost basis will be used in the year of sale of your residence to determine the gain on sale.
Improvements to your Rental property are deductible as a repair or a depreciable capital improvement.
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Crazy Tax Questions

Can I deduct the cost of mustache wax and grooming supplies per IRS Section 212 expense?

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

Probably not, unless these expenses are business related for an occupation such as an Clown or Actor.
And not per Section 212.
IRS Section 212 expense Internal Revenue Code provides a deduction, for U.S. federal income tax purposes, for expenses incurred in investment activities.
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Where/How Do I File?

Do I have to report income I did not get a 1099-Misc for?

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

Yes. All income recived by you must be reported on your tax return regardless if you did not receive a 1099-Misc.
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Can I Deduct?

Deduction for the time spent on a job that I did not get paid for

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

You cannot claim a tax deduction for time spent on a job where you did not get paid. All materials used and payroll paid to employees’ on the job will be expensed.
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Can I Deduct?

Hearing Aids

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

You can include in medical itemized deductions subject to the 7.5% limitation the cost of a hearing aid plus its batteries, repairs and maintenance needed to operate it.
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Can I Deduct?

Teeth Whitening

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

Teeth Whitening is not deductible even if performed by a dentist.
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Can I Deduct?

Veterinary fees

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

You cannot deduct Veterinary fees on your tax return.
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Can I Deduct?

Can I deduct the student loan interest reported in my child's name and S.S. number?

Asked Thursday, February 23, 2012 by an anonymous user

CPA Answer:

No. If the parents are not legally obligated to repay the loan they cannot deduct any interest the dependent pays.
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