If you are staying in the United States, even while it might not be the most exciting thing to think about, tax time can be your chance to get some of your money back that you may have spent throughout the year without realizing it! To ensure you’re getting all the deductions you’re entitled to if you’re an NRI and have your business in the U.S., follow this list of purchases listed by leading tax law firms in Delhi that are entirely deductible on your taxes without any questions!
Purchases for tax purposes can be tricky, but the fantastic news is that you can reduce expenses by making informed buying decisions with the help of a global corporate consultant company. For example, did you know that your purchases of certain health-related items may be tax deductible? Or that if you’re remodeling or renovating your home, some purchases may be fully deductible? And you can even deduct some business expenses – everything from travel to office supplies to meals – so long as you have the proper documentation to prove it! With the help of leading tax law firms in Delhi, here are five purchases you didn’t know were tax deductible – consult with an expert today!
Home office expenses
The IRS says that if you exclusively and frequently use a portion of your house as your primary place of business, you can write off the costs related to that area, including rent or mortgage interest, property taxes, insurance, utilities, and maintenance. If you don’t meet the exclusive and regular requirements but have an area of your home set up solely for business purposes with a door separating it from the rest of your house, then this area is considered a quid pro quo arrangement. (Read also: A brief guide on compliance outsourcing)
Health and fitness expenses
Everyone needs to be as healthy as possible. Your health and fitness are not only good for your physic but also your mind. Maintaining an exercise routine and eating healthy can be a real challenge, especially when you’re busy with work or family life. However, you can reduce stress by knowing which items are considered health and fitness expenses deductible from your taxes.
Childcare expenses
If you have children under 13, you may be eligible to deduct childcare expenses from your taxes. If you can provide documentation that shows your child is in a qualified daycare and they’re not home-schooled, you might be eligible for a $3,000 deduction from childcare expenses per year.
Education expenses
Educational expenses are eligible for the Lifetime Learning Credit and a deduction on your federal income taxes. Your income will determine how much is deducted from the degree and course load. For example, if you’re in school for at least half-time and have an adjusted gross income under $80,000 ($160,000 if filing jointly), you can deduct up to $2,000 per year.
Charitable donations
In the U.S., you can deduct any charitable donations from qualified organizations. This includes cash contributions, as well as contributions of goods or property. Eligible organizations include
- churches and other religious institutions,
- nonprofits like a volunteer fire department or food bank, and
- educational institutions like public schools or universities.
Conclusion
Tax season can be stressful as you scramble to gather all the documents and receipts you need to file your taxes. While many purchases don’t qualify for any tax deduction, some items you didn’t know were tax deductible! If you are residing or working in the U.S. and have been putting off your taxes in preparation for the rush, now is the time to consider these five tax-deductible purchases so that you can get your return back as quickly as possible. Try to save as much as ever possible from small business advisory services by a globally renowned corporate consultant company.