Lena-
OK, I guess you are saying the gotcha that I mentioned is the gotcha in this opportunity to reduce you current owed Tax.
I can see a couple of possible uses here:
1) If you were expecting a lower income the following year, you could use this additional deduction opportunity to lower your owed Tax for the current year (this is good).
2) Using this Sch A deduction in the current year, if it gets you above the Standard Deduction allows you to also lower your owed Tax for the current year (also good).
In both cases, it allows you the opportunity to get a larger deduction with the ability to include a Schedule A in your return (ASSUMING of course, that you have paid Quarterlies) - even though it could sort of catch up with you the following year as income.
OK, I guess I understand. It is a perk that allows you to manipulate your current return in a small way, but the SALT limitation really does limit your ability to be very creative with your tax return - and of course, you still have to possibly deal with additional income the following year.
3) But wait, I just remembered. Using this feature in order to reach the ability to file a itemized deduction Schedule A could give you a benefit in some states that allow medical expenses to be deducted on your State Return.
AH yes, taxes are so fun. Thanks Lena. Going to mark your response as the Best Answer.
ron in shawnee
ron in shawnee
