It’s tax season and with April 15th just around the corner, you want to take every deduction available. If you’re searching for a new opportunity, you might be wondering about those job seeker expenses. Here’s the scoop on whether or not you can deduct them.
In the past, you could deduct job search-related expenses as long as you were looking for work in your current field. For instance, if you worked in finance, but wanted to find a new job in education, you couldn’t take the deduction. If, however, you were searching in the finance field, that deduction was available to you.
That’s no longer true.
In December 2017, that changed when the U.S. House and Senate passed the Tax Cuts and Job Acts, with provisions that took effect in 2018 and will last through 2025. This bill suspends many deductions, including the option to deduct job search-related expenses.
That means, at least until 2025, you cannot deduct expenses, such as traveling for job interviews, printing out and mailing resumes, or relocating for a new position unless you are an active-duty military member or if you are an employee who incurred reimbursed expenses dated before January 1, 2018, and did not claim them on a prior tax return. Nor can you deduct a professional resume preparation service or any of the other expenses you were able to in and before the 2017 filing season.
That’s the bad news. The good news is that there are still plenty of deductions you can take. For instance, when crunching the numbers and doing your taxes, here’s a tax preparation checklist to keep in mind, so you don’t forget about those important deductions, such as:
- Child care credits
- Education expenses
- Mortgage costs and property taxes
- Rental property
- Certain dental and medical costs
When it comes to taxes, it’s complicated. That’s why before you file your taxes and include any of the above deductions, you should always check with your CPA first. A professional accountant will not only be able to ensure you’re filing correctly but that you’re taking every deduction possible.
If you have your taxes in place and are interested in expert help finding a new job instead, Murray Resources is here for you. We’re a top staffing agency serving the Houston, TX area and can connect you with a range of rewarding opportunities, from temporary and temp-to-hire to full-time opportunities. Contact us today to get started or search our jobs now.