Are Miscellaneous Deductions Still Available?
In the context of tax deductions, miscellaneous deductions refer to various expenses that taxpayers can claim on their tax returns. It's important to note that the Tax Cuts and Jobs Act (TCJA), enacted in December 2017, made significant changes to the availability of these deductions.
Under the TCJA, many miscellaneous itemized deductions that were previously allowed are now suspended for tax years 2018 through 2025. This includes expenses such as unreimbursed employee business expenses, tax preparation fees, and certain investment-related expenses.
However, some miscellaneous deductions are still available. For instance, you may still be able to claim certain gambling losses, expenses related to the repayment of income received under a claim of right, and some losses related to the abandonment of a business.
To summarize, while miscellaneous deductions were significantly curtailed under the TCJA, a few specific deductions remain available to taxpayers. Always consult a tax professional or stay updated with IRS guidelines to ensure you are taking full advantage of any deductions available to you.