Taxes

The Kiplinger Taxopedia: What's Deductible?

From property taxes to student-loan interest to child-care expenses, find all your tax deductions in our encyclopedias. We’ve crammed each one with the information you need to file your tax return ... and hold your tax bill to the legal minimum.

Did you know you can write off college tuition costs? Or job-related moving expenses? And you don't even have to itemize to get these breaks. Did you know that the old Hope college credit – which used to be good for only the first two years of college – has been temporarily enlarged and is now good for the first four years of college? That some new homeowners who took advantage of the special homebuyer’s tax credit have to pay it back . . . and some don’t?

The federal income tax law is packed with a multitude of ways to lower your tax bill. The trick is knowing which deductions and credits are available -- then taking advantage of them. You're probably thinking you need to hire a high-price accountant for that. Not so.

Our tax encyclopedias make it easy to find out what is deductible. We cover all the major areas, from charitable contributions to medical expenses to retirement savings. Check out our easy-to-use guides to find out how you can cut your 2010 tax bill. And here’s more good news: What you learn now can be put into practice in the future, too, to hold down your tax bill year after year after year.

What's Deductible?

Business ExpensesCongress has filled the tax law with opportunities for businesses both large and small to recoup a healthy portion of reasonable and necessary business expenses with tax deductions and credits.

Cars and Other Things You OwnBelieve it or not, you actually can ring up tax savings as the result of buying things.

Charitable Contributions It's good to give. And for your generosity, the IRS rewards you with tax-saving deductions for charitable contributions.

Children and Other DependentsKids can cost a small fortune, but they can be real money savers at tax time. Check out all the ways children and other dependents can trim your tax bill.

Education ExpensesThe tax law is filled with breaks to help taxpayers pay for education -- for your children, your grandchildren or even for yourself.

Employee ExpensesYou don’t have to run your own business to rack up tax breaks. Even if you work 9-to-5 for the boss, Uncle Sam may subsidize some of your job-related costs.

Home OwnershipHomeowners can claim a slew of write-offs to lower their tax bills.

Investment and Retirement Savings0% capital gains? Check. Tax-free dividends? Check Tax-free retirement income? Check. There’s a long list of ways to save taxes on your savings..

Medical ExpensesThe list of medical costs that can be deducted stretches to the Mayo Clinic and back but the best way for most taxpayers to benefit has nothing to do with itemizing deductions.

Other DeductionsThese tax savers don't fall under any of our other Taxopedia categories . . . but that doesn’t mean they won’t save you money.

Most Popular

5 Beaten-Down Stocks to Buy on the Dip
stocks to buy

5 Beaten-Down Stocks to Buy on the Dip

The market has delivered some nauseating volatility of late. The good news? That has teed up a few great stocks to buy at a discount.
September 27, 2021
10 Best Stocks for Rising Interest Rates
stocks

10 Best Stocks for Rising Interest Rates

The 10-year Treasury yield is hovering near its highest level in months. Here are 10 of the best stocks to buy in a rising interest-rate environment.
September 30, 2021
13 States That Tax Social Security Benefits
social security

13 States That Tax Social Security Benefits

You may have dreamed of a tax-free retirement, but if you live in these 13 states, your Social Security benefits are subject to a state tax. That's on…
October 4, 2021

Recommended

Child Tax Credit Payments Sent October 15
Tax Breaks

Child Tax Credit Payments Sent October 15

The IRS sent another round of monthly child tax credit payments on October 15. Most families received their payment by direct deposit.
October 16, 2021
Tax Extension Deadline: File Your 2020 Return Today to Avoid Penalties
tax deadline

Tax Extension Deadline: File Your 2020 Return Today to Avoid Penalties

If you chose to extend your tax return's due date, the tax extension deadline is here!
October 15, 2021
Taxes on Unemployment Benefits: A State-by-State Guide
state tax

Taxes on Unemployment Benefits: A State-by-State Guide

Don't be surprised by an unexpected state tax bill on your unemployment benefits. Know where unemployment compensation is taxable and where it isn't.
October 14, 2021
The 10 Least Tax-Friendly States for Middle-Class Families
state tax

The 10 Least Tax-Friendly States for Middle-Class Families

Failing to consider state and local taxes before moving your family to another state could cost you thousands of dollars each year.
October 14, 2021