| Filing your personal and business tax returns is often | | | | Unemployment insurance benefits are a different |
| complicated if you work from home or if you're not | | | | matter. You do want to report this figure on your tax |
| sure about the different credits that you're able to take | | | | return. In many cases if you do receive unemployment |
| and the benefits that you may have to claim. | | | | benefits for any reason other than worker's |
| However, this guide includes a few things that you | | | | compensation, but then don't report it on your return, |
| should do when filing for your personal and business | | | | you will get audited. |
| insurance tax returns and it also includes some things | | | | Automobile Insurance: |
| that you should overlook when filing your returns. | | | | Automobile insurance is another area in which you can |
| Health Insurance and Medical Expenses: | | | | get a break on your federal tax return if you run a |
| First, if you work at home or if you are with an | | | | business and work from home. Including auto insurance |
| employer, you should always think ahead and plan | | | | as a deduction on your federal tax return is something |
| your medical procedures and expenses for the coming | | | | you should take advantage of. |
| year. If you do this efficiently, you will be able to take | | | | Casualty and Theft Losses: |
| the maximum deduction when it comes time to file | | | | Don't report the insurance reimbursements from |
| your personal or business tax return. | | | | casualty claims or theft losses. Many times these are |
| Second, you'll want to find out if you in fact do qualify | | | | unnecessary and won't net you the biggest advantage |
| to deduct all or part of your medical expenses. | | | | on your tax return. |
| Depending on your income, you may be limited to the | | | | Moving Expenses: |
| medical expenses deduction. In addition, you will always | | | | If you work at home and you have job-related moving |
| want to deduct your health insurance and long-term | | | | or storage expenses, this is something that you'll be |
| care insurance premiums on your federal tax return. | | | | able to report on your federal tax return. This is a little |
| There may even be miscellaneous insurance | | | | known deduction that few people know about but can |
| deductions that you can use on your federal tax return | | | | save you from paying more income tax than you |
| so you'll want to find that out. | | | | already are. |
| Unemployment and Worker's Compensation: | | | | In addition, check previous federal tax returns for any |
| Don't report worker's compensation insurance benefits | | | | insurance deductions that you may have taken in the |
| as part of your income. Receiving worker's | | | | past. Chances are that if you have taken advantage |
| compensation benefits is almost always non-taxable, | | | | of them in the past then you are still eligible for those |
| which means that it does not have to be reported as | | | | deductions. All in all, the insurance benefits and other |
| part of your income on your personal or business tax | | | | expenses listed here are important when preparing |
| return. Many people err on the side of caution and | | | | your personal or business income tax return and you |
| include it, but you'll end up only increasing your income | | | | should use your tax knowledge to the fullest extent |
| and paying more taxes. | | | | when filing. |