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In what years was credit card interest a deduction on income taxes?


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2008-02-25 03:07:25
2008-02-25 03:07:25

"On Oct. 22, 1986, President Ronald Reagan signed into law the Tax

Reform Act of 1986. Reagan called the 829-page, 33-pound bill 'the most

sweeping overhaul of the tax code in our nation's history.'

"The new code gradually phased out all deductions for interest paid on

car loans, charge-account purchases, vacations and anything else that

fell under what the law termed 'consumer loans.'

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Related Questions

If you itemize deductions on your federal income tax return, you have the choice of claiming a deduction either for state income taxes or state sales taxes (but not both). Sales taxes would include those for groceries. Note that this is a deduction, not a refund or credit.

In general, states do not allow a deduction for federal income taxes as most states "piggyback" off of federal taxable income as the beginning of the state income tax calculation. However, the states of Alabama , Iowa , Louisiana , and Missouri have variations of state taxable income that allows for some potential deduction for federal income taxes. Each of these four states has its own unique methodology for the deduction and each place certain restrictions on the ability to take the deduction.

THIS DEDUCTION ON YOUR TAXES will have to entered on the correct form or line of your 1040 federal income tax return before your income tax return can be completed correctly.

On your income tax there is what's called the standard deduction. I think its currently a little under $6000 for singles. Everyone gets to subtract this from their income. However, if your interest on your home mortgage plus your state taxes add up to more then $6000 then you should put them on Schedule A (called itemizing) and you will be able to subtract more then the standard deduction. If you are married & filling jointly then the standard deduction is a little under $11000 and your mortgage interest + state taxes would have to be more then this to get anymore deducted from your income.

The IRS made a new deduction for income taxes this year.

With certain limits, interest paid on the mortgage for your primary home is a deduction against your taxable income, IF YOU ITEMIZE. (Which the size of this deduction alone is the main thing that makes most people better off itemizing than taking the standard deduction).

On your federal income taxes, you are allowed to claim a mortgage interest deduction for your principal residence and one other residence of your choice. It does not have to be in the same state. In addition, you are allowed to claim the interest on all rental or business properties.

No. The tax deduction will be on your federal income taxes instead.

Tax deduction at source (TDS) means that specified taxes are deducted from the recipient's income by the payer prior to payment. According to the India Income Tax Act, TDS must be done on such income as salaries, interest, dividends, rents, fees for professional and technical services, etc. In this way the payments to the recipient are net income (gross income less taxes).

According to Yahoo Finance, "a credit reduces the amount of tax you owe; a deduction reduces the income on which taxes are assessed." See related links for more information on new tax credits for 2010.

For Income Taxes (Income to the dealer) - YesFor Sales Taxes - Depends on the StateA Deduction for the Purchaser - Yes

Certain mortgage interest paid on a primary residence, meeting some other qualifications, is deductible against ordinary income - as an itemized deduction, if that is what you mean.

Claim the loans? You mean claim the interest on the loans, right. Loans are neither a deduction or income.

No...except that over 65 get a double deduction.

operating income vefore interest and income taxes / annual interest expense

When are income taxes applied to the interest earned by business owned annuities

Yes, interest income is taxable.

No, you don't get all interest back in any mortgage in tax. The most you get is a deduction, that is a loering of your taxable income by that interest amount. (So if you are in the 20% tax bracket and have $100 of qualified mortgage interest, your tax is reduced by $20).

Property taxes can be itemized on the schedule A itemized deduction of the 1040, or if your standard deduction would be more than your itemized deduction, the amount can be used to increase your standard deduction amount on your federal income tax return.

Your income before taxes is your operating income, and your income after taxes is your "net" income. * + Net Sales (Sales - Returns) * - Cost of Goods Sold * ------------------------------------ * = Gross Profit (Gross Margin, Gross Income) * - Operating Expenses * ------------------------------------- * = Operating Income * + Gains (not related to usual operations) * - Losses (not related to usual operations) * ----------------------------------------------------- * = Earnings before Interest and Taxes * - Interest * - Taxes * ------------------------------------------------------ * Net Income

Is there a way to write off credit card interest on corparation credit card?

None. Florida doesn't have State Income taxes and the threshold for Federal Income taxes is more than $5000 as the Standard Deduction for a single person for 2014 is $6200.

lots of info on my site on this one, but in short the money you get from the reverse mortgage is not subject to income tax because it is borrowed money, not earned money. this is similar to a home equity line of credit taken out against a home, no income tax is paid on the loan. On the flip side, the interest you pay on a mortgage is tax deductible in the year you pay the interest, not necessarily in the year it accrues. Because a reverse mortgage does not require mortgage payments, you typically will not have a mortgage interest deduction on your income taxes. However, if you need a deduction on a particular year you can pay interest payments whenever you want, thus receiving a 1098 interest statement making that money tax deductible.

Yes, if you are required to purchase uniforms to wear for your job, such as scrubs, there is a deduction you can claim on your income tax forms.

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