- If you are going to be out of town this summer, consider renting your home while you’re gone. The IRS allows you to receive up to 14 days of rental income per year completely tax-free.
- If you are planning a summer business trip, you and your spouse may be able to travel for little more than you would have paid on your own. For example, if a double hotel room costs $250 and a single room costs $200, you can still deduct $200 as a business expense even if the two of you get the double.
- Consider hiring your child for the summer. Your son or daughter can earn up to the standard deduction amount tax-free, and you are entitled to a business deduction for the wages paid. Even better, your child can earn up to an additional $5,500 tax-free, as long as he or she then makes a deductible IRA contribution.
- If you and your spouse work, the cost of sending your children to a summer day camp may qualify for the child care credit.
- If you volunteer to help a qualified charitable organization, keep track of your expenses. You can deduct mileage or actual expenses for charitable driving, as well as your other out-of-pocket expenses, if you itemize your deductions on your income tax return.
The information on this site is general in nature and should not be acted upon in your particular situation without further details and/or professional advice. For assistance, contact our office.