Tax deductions you can't afford to miss
5 most overlooked credits
- Duration 3:15
- Date Jan 29, 2013
5 most overlooked credits
Also in this playlist...
This transcript is automatically generated
It's that dreaded time of year tax season are you ready to file well -- make sure you don't miss out on any deductions or credits that you're eligible for.
So personal finance expert Peter Gibbons is here.
With five of the most valuable money saving credits and deductions that people often -- -- -- -- morning the first one is the earned income tax -- and that's -- reports of this comes extended as part of the best fiscal -- here for Danica five years there.
One out of five taxpayers actually miss the best break and how much is -- -- gonna depend on your map marital status your income how many -- you've got.
But the average taxpayer who claims -- who takes it to them it's worth.
A couple thousand not Huckabee were nearly 6000 -- pick up three more qualifying children so.
This is one you don't want to -- The IRS on its site hasn't earned income tax credit assistant seek and find out if you qualify Bankrate -- something -- -- on -- site.
Interesting all right so if you're unemployed you can deduct job hunting cost sometimes if you -- for a job in the same line and work in 2012 and if you itemize your return.
Yes you can lump all of your job -- -- together transportation costs to and from the job interview.
-- may cobb's career counseling.
But these cops have to exceed 2% of your adjusted gross income.
May sound like a lot of a lot of people with this I think this threshold is pretty easy to clear if you have any income into when he talks out.
Just something to think about the yes.
And these expenses are deductible -- and even if you didn't actually land a -- the search was unsuccessful search but also you can't do it if you changing careers right you can't do it isn't your first job search -- just out of -- this -- does not quite yet.
Out of pocket charitable contribution well here's the thing -- -- people tend to remember the big cash contributions that they made to their favorite charities but they tend to forget the little.
Out of pocket things they did for their favorite charity.
You cannot connect a time but you can detect things like ingredients for pies you made your favorite charity stamps for your -- fund raising event.
And miles fourteen cents is -- you can -- on the mileage front plus plus parking and tolls.
As they relate here Philanthropic endeavors Bartlett good to know and then now home improvements that -- our energy saving what it is funny because a lot of people think that these have all gone away and a lot of them having -- this is what inspire people to make improvements around home.
New windows -- doors insulation but some of the bigger ones -- more valuable credits are still out there so people if you're installing some big energy efficient system.
This is a decent break fee of 30% of the cost.
Including including labor here and this is a break that's going to be around for a few more years as well and solar and other thing yes well hey you know we're talking about the solar energy systems.
The geothermal heat -- big ticket items for the environmentally conscious right all right good to -- and the American opportunity credit when you have kids in college this was the hope credit right this is now been.
Change to this -- it's it's it's.
For all four years of college this is a pretty -- of -- 12500 dollars a year at the 101000 dollar subsidy.
Over four years in -- eligible for the maximum amount if you meet income requirements by 80000 dollars or dollars or less if you're single.
One double that here.
Married and filing a joint return but this is a decent -- a lot of kids are eligible for this 110 it actually miss this one but this is this is a decent -- this -- Has been extended as part of the fiscal -- deal all right Vera Gibbons Thanksgiving I had end up file early you get a -- it right now my favorite on the air but I thought.