gregorygarver.com

James · Joined: 28 Dec 2006 Posts: 4

real estate taxes on personal residence $6000sales tax $1000property tax on my car $2000state income tax $5000self employment tax $4000

AkatsukiLife · Joined: 02 Jun 2005 Posts: 2

You should definitely double check me, but I think you can choose income or sales tax, not both. you only get half of SE tax and its an above the line adjustment. Then you can deduct the personal property and real estate taxes. So...+Gross income-Adjustments $2,000=AGI -Deductions (Itemized) $6,000 $2,000 $5,000

oneblondepilgrim · Joined: 07 Oct 2003 Posts: 6

There's no way to answer that question without knowing your income. You need to go online to irs.gov and download the tax forms, including Schedules A and B - which must be completed to file itemized deductions, and the tax rate tables. You'll also find information on other deductions that you may possibly claim there: if you've had medical expense above a certain percentage of your income, that too is deductible. All the things you've set out here are deductible plus whatever you had to pay last year for tax preparation services and charitable gifts. As tax laws now stand, if you intend to claim sales taxes, you must have receipts to prove you actually paid in excess of the amount that's factored in as a standard sales tax deduction whatever your income level is.

Woman_Tamer · Joined: 19 Apr 2004 Posts: 1

You'd take the real estate taxes and the state income tax as itemized deductions. When you say property tax on your car, do you mean a personal property tax? What the heck kind of car do you drive, and what state are you in, to pay that much? Or do you mean sales tax on the purchase? If it's sales tax, you can't deduct it since you would deduct your state income tax which would be higher than your sales tax allowance. So it sounds like your itemized deductions would be $11,000. You mention real estate taxes - do you have a mortgage on the house also? If you are on the loan and pay the payment, you can deduct mortgage interest also.Remember to take half of the self-employment tax as an adjustment to income on the front of your 1040. You can take that whether you itemize or not.