According to the U.S. Department of Labor, there are 74.6 million women in the labor force, comprising 47% of all U.S. workers. Moreover, 70% of mothers with children under the age of 18 work in the labor force, with 75% being employed full-time. According to an article written by Liberty Tax, here are the top deductions that woman and mothers can take in this upcoming tax season.
Deducting Work Related Purchases
If you bought a new cell phone or a desktop computer, and you use it primarily for work, you can write off a portion of the cost. If this new computer is at home in a room that is used solely as an office for work, you can take the home office deduction. However, keep in mind that the room needs to be used as an office and nothing else. If you don’t have an office, you are still able to deduct office supplies and equipment, but make sure you keep all of the receipts for what you purchased.
Donating Old Clothes or Other Items
With the spring-cleaning season just right around the corner, you have considered getting rid of old clothes that you don’t want or don’t fit anymore. You can also deduct any donations that you make to qualified charities, including your clothes, or anything else your family wants to donate. This can include old toys that your kids have grown out of or are not playing with anymore, books that aren’t being read anymore, or even a car. When you do donate, just make sure you are giving it to a designated non-profit with 501(c) status and that you get a receipt for everything you donated.
Deducting Mileage for Business
If you find yourself driving a lot for work, make sure you keep a detailed travel log of your mileage. Though you can’t deduct your daily commute, you can deduct anything that involved you leaving the office to travel to a meeting or to run an errand. You can deduct the cost of travel using the standard mileage rate that was in 2017 at 53.5 cents a mile or the costs of using the car for business travel such as oil changes and other maintenance related expenses.
Earned Income Tax Credit
Say you are a single mom who makes low to medium income, then you may be eligible to get the earned income tax credit. In 2016, the tax credit can count up to as much as $6,269 if you have three or more qualifying dependent children. Income thresholds will vary depending on if you are single or you are married. To learn more about the EITC, you can visit the IRS website here.
This 2018 Tax Season
The IRS will begin accepting tac returns on January 29th. The key date that everyone should write down on their calendars is April 17th, which is the due date for this year. This will give you two more days beyond the normal April 15th deadline to file. For more information, you can read the post discussing the important dates on the IRS website.
