Home » Aron Govil: The most common tax deductions people miss on their US taxes

Aron Govil: The most common tax deductions people miss on their US taxes

When it comes to taxes, there are a lot of things to keep in mind. For most people, the biggest challenge is figuring out what deductions they are allowed to take explains Aron Govil. Unfortunately, many people miss out on valuable deductions because they don’t know about them.

In this article, we will discuss some of the most common tax deductions that people miss on their US taxes.

1. Mortgage interest deduction:

If you own a home, you can deduct the interest you pay on your mortgage from your taxable income. This can save you a lot of money each year.

2. Property taxes:

You can also deduct your property taxes from your taxable income. This can be a significant savings, especially if you live in a high-tax state.

3. Student loan interest deduction:

If you have student loans, you can deduct the interest you pay on those loans from your taxable income. This can save you a lot of money each year.

4. Medical expenses deduction:

If you have medical expenses that exceed 10% of your adjusted gross income, you can deduct those expenses from your taxable income. This can be significant savings, especially if you have a high-deductible health plan.

5. Charitable contributions deduction:

You can deduct your charitable contributions from your taxable income. This can be significant savings, especially if you make large donations to charity each year says Aron Govil.

6. Home office deduction:

If you work from home, you may be able to deduct the cost of running your home office from your taxable income. This can be a significant savings, especially if your home office is your primary place of business.

7. State and local taxes deduction:

You can deduct your state and local taxes from your taxable income. This can be a significant savings, especially if you live in a high-tax state.

8. Retirement contributions deduction:

You can deduct your retirement contributions from your taxable income. This can be a significant savings, especially if you contribute to a pre-tax retirement account.

9. Self-employment taxes deduction:

If you are self-employed, you can deduct the self-employment taxes you pay from your taxable income. This can be significant savings, especially if you have a high income.

10. Educator expenses deduction:

If you are an educator, you may be able to deduct the expenses you incur for professional development from your taxable income. This can be a significant saving, especially if you attend a lot of professional development workshops each year.

As you can see, there are a lot of tax deductions that people miss on their US taxes. By understanding these deductions, you can save yourself a lot of money each year.

FAQs:

1. I own a home. Can I deduct the interest I pay on my mortgage from my taxable income?

Yes, you can deduct the interest you pay on your mortgage from your taxable income. This can be a significant savings, especially if you have a large mortgage.

2. I live in a high-tax state. Can I deduct my property taxes from my taxable income?

Yes, you can deduct your property taxes from your taxable income. This can be significant savings, especially if you live in a high-tax state explains Aron Govil.

3. I have student loans. Can I deduct the interest I pay on those loans from my taxable income?

Yes, you can deduct the interest you pay on your student loans from your taxable income. This can be a significant savings, especially if you have a large amount of student loan debt.

4. I have medical expenses that exceed 10% of my adjusted gross income. Can I deduct those expenses from my taxable income?

Yes, you can deduct your medical expenses that exceed 10% of your adjusted gross income from your taxable income. This can be a significant savings, especially if you have a lot of medical expenses each year.

5. I contribute to a pre-tax retirement account. Can I deduct my contributions from my taxable income?

Yes, you can deduct your retirement contributions from your taxable income. This can be significant savings, especially if you contribute a lot of money to your retirement account each year.

Conclusion:

As you can see, there are a lot of tax deductions that people miss on their US taxes. By understanding these deductions, you can save yourself a lot of money each year says Aron Govil. Make sure to talk to an accountant or tax specialist to learn more about the deductions that are available to you.

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