Special Deductions

Nurse

Tax law can be com­plex. There’s much to know to be sure you’re doing all you can to get what you deserve. Here are some per­sonal and busi­ness tax tips to get you started. We update this infor­ma­tion reg­u­larly, so check back soon for new tips.
Taxes for nurses page divider

A few over­looked tax deduc­tions for nurses:

  • Pro­fes­sional licenses.
  • Cost of uni­forms, spe­cial cloth­ing or shoes required on the job.
  • Clean­ing expenses for uni­forms and work clothes.
  • Tools Needed For The Job
  • Glasses
  • Mal­prac­tice insurance.
  • Union dues
  • Pro­fes­sional Mem­ber­ship and Asso­ci­a­tion Dues
  • Job-Related Edu­ca­tion
  • Job search expenses includ­ing lodg­ing and travel expenses
  • Mov­ing expenses when nec­es­sary for busi­ness reasons.
  • Par­tial Depen­dent Care
  • Cell or home phone bills related to your job.
  • Tax return fees

Also:

  • Char­i­ta­ble Donations

    As a donor, you may not deduct labor or time, but you may deduct expenses such as mileage, uni­forms, and even the cost of tak­ing under­priv­i­leged youth to sports events or movies.

  • Med­ical Expenses

    It’s dif­fi­cult to reach the per­cent­age of adjusted gross income you need to spend on med­ical expenses to be eli­gi­ble. But if you qual­ify, you shouldn’t over­look all pos­si­ble expenses. Some­times, it’s even best for mar­ried cou­ples to con­sider fil­ing sep­a­rately if one part­ner has high med­ical bills.

  • Mov­ing Expenses

    If you moved more than 50 miles for work and stayed employed, you might be able to deduct rea­son­able mov­ing expenses. No item­iza­tion is necessary.

  • Domes­tic Pro­duc­tion Deduction

    This gen­er­ous ben­e­fit for hav­ing a qual­i­fied busi­ness in the U.S. can be claimed by sole pro­pri­etors, part­ner­ships, and cor­po­ra­tions. It can even apply to farmers.

  • Mort­gage Inter­est Points

    Points paid on a home mort­gage are usu­ally deductible as inter­est. If the mort­gage is for the pur­chase or improve­ment of your prin­ci­pal res­i­dence, you can either deduct the full amount of the points in the year of pay­ment or, if you’re not item­iz­ing your deduc­tions that year, pay back the points over the loan term.

  • Retire­ment Plan

    One of the most pow­er­ful tax shel­ters avail­able is a qual­i­fied retire­ment plan. Within cer­tain lim­its, con­tri­bu­tions to fund the plan are imme­di­ately tax deductible, plan invest­ment earn­ings are tax deferred, and plan par­tic­i­pants do not have to pay income taxes on ben­e­fits until they receive their distributions.

Busi­ness Tax Tips

  • Busi­ness Automobiles

    You can claim deduc­tions for the business-related use of an auto using either the stan­dard mileage rate method or the actual expense method. You should use the method that will yield the largest deduction.

  • Hir­ing Your Children

    If you have your own busi­ness, con­sider hir­ing your child to work after school or on vaca­tions. The wages you pay your child for bona fide work are tax deductible.

  • Home office expenses

    To qual­ify for a deduc­tion related to an office in the home, you must have an area of your home used exclu­sively as your prin­ci­pal place of busi­ness. This includes a place of busi­ness where you meet or deal with patients, clients, or customers.

  • Profit-sharing plans

    Unlike other plans, a profit-sharing plan is flex­i­ble. It can be designed so that the employer is not required to make an annual contribution.

This list is far from exhaus­tive. Call us today to set up a time to dis­cuss your spe­cific sit­u­a­tion and needs.