About two weeks ago I sat down with Turbo Tax and did a quick run-through to see roughly where we stand with regard to income taxes. While I’ve written previously about common income tax deductions, as well commonly missed income tax deductions, today I though I’d share our biggest income tax deductions.
1. Charitable contributions (cash)
2. Mortgage interest
3. State income taxes
4. Property taxes
5. Charitable contributions (non-cash)
Note: I didn’t include retirement contributions because those are technically “adjustments.”
Given that we just refinanced our mortgage, I expect our mortgage interest deduction to be much less significant next year, but our other deductions will likely hold steady or increase.
What about you? What are your top income tax deductions?