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Deductions & credits
@bensanford wrote:Is the tally of expenses enough to justify these expenses?
However, I did need to purchase tools to do the job and wonder if I can include that cost
In most cases, yes.
Maybe. If you used the tools for job and never used them again for anything else, yes. If you use the tools for the job and then regularly used them for other things, probably not. If it is somewhere between that, then maybe a portion can be used.
In the event you are calculating your Basis to calculate the gain from the sale of the home, in some cases it might not matter. If it has always been your main home you may be able to "exclude" (not pay tax on) up to $250,000 ($500,000 if Married Filing Jointly) of the gain.
‎June 9, 2021
10:46 AM