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colleyvillesooner
3/27/2006, 03:23 PM
My gf is doing her taxes and she uses her car to travel and see clients and is not reimbursed by her company for mileage. She wants to claim this. She only started there in October of last year, so the total usuage in dollars is only around $3000. Since this is below the standard deduction of $5000, is she SOL? Or does the business expenses go above and beyond the standard deduction. Any help or links would be great

TIA.
1stTimeCaller
3/27/2006, 03:26 PM
I think we all know what I'd do.
mdklatt
3/27/2006, 03:27 PM
My gf is doing her taxes and she uses her car to travel and see clients and is not reimbursed by her company for mileage. She wants to claim this. She only started there in October of last year, so the total usuage in dollars is only around $3000. Since this is below the standard deduction of $5000, is she SOL? Or does the business expenses go above and beyond the standard deduction. Any help or links would be great

TIA.

It's my understanding that if you use the standard deduction you can't use anything else. You either itemize, or you don't. With a $3000 head start she might be able to easily come up with an additional $2000 of deductions to make it worthwhile. There are all kinds of things you can deduct once you start itemizing. Is she paying off student loans?
colleyvillesooner
3/27/2006, 03:29 PM
It's my understanding that if you use the standard deduction you can't use anything else. You either itemize, or you don't. With a $3000 head start she might be able to easily come up with an additional $2000 of deductions to make it worthwhile. There are all kinds of things you can deduct once you start itemizing. Is she paying off student loans?

Yep, already added that in and it doesn't get her close.
Mjcpr
3/27/2006, 03:29 PM
She have a mortgage?
jeremy885
3/27/2006, 03:30 PM
Student loan interest isn't part of itemizing. You get to deduct it whether or not you itemize.
colleyvillesooner
3/27/2006, 03:30 PM
No mortgage.

And yeah, there is a separate from for the Student loan interest (1098-E)
1stTimeCaller
3/27/2006, 03:33 PM
didn't she move last year too? If she did she needs to deduct those expenses too, in addition to the standard deduction.
colleyvillesooner
3/27/2006, 03:33 PM
didn't she move last year too? If she did she needs to deduct those expenses too.

nope
JohnnyMack
3/27/2006, 03:53 PM
Therapy.

Those medical bills she pays for helping cope with your sorry *** should be a deduction. No?

Am I helping at all?
colleyvillesooner
3/27/2006, 04:11 PM
Therapy.

Those medical bills she pays for helping cope with your sorry *** should be a deduction. No?

Am I helping at all?

:mad:
mdklatt
3/27/2006, 04:35 PM
Therapy.

Those medical bills she pays for helping cope with your sorry *** should be a deduction. No?

Am I helping at all?

I could say something involving "cvs", "medical expenses", and "free clinic". But I won't.
Hamhock
3/27/2006, 04:57 PM
they have to go on schedule A. If that is all of the deductions, you're sol.

Also, they are considered unreimbursed employee expenses (misc itemized deductions). They are only deductible if, and to the extent, they exceed 2% of Adjusted gross income.

if your AGI is $100,000 and you have $2,100 of miscellaneous itemized deduction, you only get to deduct $100.
Taxman71
3/27/2006, 04:57 PM
Even unreimbursed business expenses (i.e. - mileage - reported on Sch A, Line 20) are only deductible as an itemized deduction to the extent they exceed 2% of AGI. Odds are, she can't deduct the mileage. It would be different if she were self-employed as an independent contractor or the like. In that case, she could deduct the entire amount (even if a loss) on Schedule C.
1stTimeCaller
3/27/2006, 05:06 PM
I think we all know what I'd do.

and now we know why you do what you do when you do what you do.
Stanley1
3/27/2006, 05:10 PM
Student loan interest isn't part of itemizing. You get to deduct it whether or not you itemize.


Correct.