Student loan interest is tax deductible

Graduated!by ralph and jenny, on Flickr This part of my continuing series on things everyone should know about taxes. Yes, student loans are tax deductible, (subject to various limits).  They are deductible as an “adjustment to income” rather than as an “itemized deduction.”  This means that you can deduct student loans from your taxable income […]
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How to get rid of old stuff and reduce your taxes

Aceitunas Balaguerby Jorge Franganillo, on Flickr I’m about to save you hundreds of dollars on your next tax return. The IRS permits you to deduct the fair market value of any property that you donate.  This can include clothing and household items that are in good condition, such as furniture, electronics, appliances, and linens.  Here […]
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Can you deduct anonymous Secret Santa layaway gifts on your taxes?

The big thing this Holiday season is anonymously paying off lay-away accounts at K-mart.  It works like this: go to customer service desk at K-mart (or any other store), and offer to pay someone else’s account.  If you have a soft spot for, say, children’s toys, they will help you find an appropriate recipient, within […]
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Should you itemize deductions?

Understanding itemizing versus standard deductions is very important because it determines whether individual deductible expenses will actually affect your total taxes. For example, if you itemize, then another charitable expense will increase your deductions, and lower your taxes.  On the other hand, if you are unable to itemize, then additional charitable expenses will have no […]
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