Want to cut your tax bill to the bone? Claim all the breaks you deserve. Were you out of work last year? Job hunting costs are deductible including transportation expenses, clothing purchases, even the cost of printing resumes.
Jackson Hewitt tax service manager Bernie Smith finds that taxpayers also overlook student loan interest paid by mom and dad. It qualifies as deductible. A child not claimed as a dependent can deduct up to $2500 in student loan interest paid by parents.
You can write off family members as dependents, such as a parent or even a niece or nephew if you support them financially.
Make any big purchases like a car or boat last year? You can write off state sales tax. If you did not make any big-ticket buys then take the standard rate.
You can deduct uniform expenses and certain work attire depending on what you do for a living. If your job requires you to dress a certain way the IRS allows you to deduct a percentage of your clothing expenses.
Watch the entire report in the video player above.