It would cap the itemized deduction
at $22,500, but it would protect the exemption for charitable donations.
It includes different tax brackets, exemption numbers (2, 4, and 6), and two distinct assumed itemized deduction
amounts ($10,000 and $8,000) that are below the standard deduction amount ($12,400).
Tax Law section 615(d)(4) permits taxpayers to claim an additional itemized deduction
of up to the first $10,000 of undergraduate tuition paid per eligible student.
165(c)(3), an itemized deduction
is allowed for a theft loss, but under Sec.
Nor is it subject to the section 67 itemized deduction
threshold of 2% of AGI or the section 68 AGI phaseout of itemized deductions
ii) An itemized deduction
for state and local income taxes, plus a separate itemized deduction
for qualified motor vehicle taxes (above and [paragraph] K-4518 et seq.
The following examples and discussion will demonstrate various favorable combinations and consider the effect of the itemized deduction
and personal/dependency phaseouts.
Assuming that the $1,500 is his only tier 2 itemized deduction
This provision allows individuals, who previously were entitled to only a miscellaneous itemized deduction
, to deduct their legal fees and court costs in arriving at adjusted gross income.
Furthermore, the expenses incurred by the employee, which are attributable to the amounts included in the employee's gross income, may only be deducted as a miscellaneous itemized deduction
subject to the two-percent-of-AGI floor.
Be mindful of the phaseout of itemized deduction
and personal exemption reductions.
Outside of the two-year window, the taxpayer must take a taxable distribution from the IRA and report the income; a donation is reported as an itemized deduction
subject first to the charitable deduction limits, then to the itemized deduction