Tax deductions for 2006 job search expenses.
This entry was posted on Thursday, April 05, 2007 11:17 PM and is filed under Tips and Tricks.
Many people use the services of an employment or outplacement agency. It is possible to deduct fees you pay to these organizations, if you are looking for a new job in your current occupational field. Some common deductions include moving household and personal items to accommodate a new job, traveling to a new home (accommodations but not meals) and parking fees, tolls, gas and oil expenses for a vehicle (using the moving mileage rate of 18 cents per mile for a 2006 tax return.)
Finally, keep in mind that there are situations where job expenses cannot be deducted. These include cases where taxpayers are looking for a job in a new occupational field, expenses for first-time job seekers and situations where there is a large gap of time between the start and stop date of your last position. When preparing your 2006 taxes, don't forget to check with your tax preparer on which job search expenses you can deduct. Vivian
