above the line deduction
college tuition
educator deductions
itemized deduction
sales tax
state and local taxes
taxes
Which tax deduction do you want extended to 2006?
By glgcpa
@glgcpa (143)
United States
November 4, 2006 6:05pm CST
Congress has yet to renew the following popular tax breaks that expired Dec. 31, 2005:1. Itemized deduction for state and local taxes
2. Above-the-line deduction for college tuition and fees
3. Tax break for teachers who spend their own money on classroom supplies
Which write-off do you most want to be able to deduct in 2006?
1 response
@claudia413 (4280)
• United States
5 Nov 06
#1 is definitely for me. Congress better get in gear and extend the itemized deduction for state and local taxes. That and my mortgage interest are the two largest deductions that I have. #3 should most definitely be at the top of every teacher's list. I have many friends who are teachers, and they all have to spend their own money for classroom supplies because of cutbacks in school funding. #2 doesn't apply to me, but I'm sure there are many out there that could use that deduction in a big way. Thanks for bringing this oversight to our attention. I may not have heard about it otherwise.
@glgcpa (143)
• United States
5 Nov 06
Thanks for your comment! I agree that the deduction for state and local taxes is high on my priority list as well, especially since I live in a no state tax state - I could use the sales tax deduction! I also agree with you that it's not right to give the teachers a break for just a couple of years and then take it away. They should get their deduction too. Then again, personally I feel the tax code would be simplier if they made all their changes permanent instead of having all these expiration dates and then renewal dates, etc.
@glgcpa (143)
• United States
5 Nov 06
It seems as if each party wants to give tax breaks so they (or their party) can get elected. In order to make it "budget friendly" they have sunset termination dates. This usually forces the other party to either accept the deductions they already gave people or look bad for not allowing them to continue to take the tax breaks.
