Estimated tax tip savings: The cost and maintenance of your work clothes can be a valid tax write-off. Suppose your qualifying clothes cost $500 and dry cleaning costs you an additional $200 a year. You can deduct the entire $700 expense.
That’s right: the IRS lets you deduct the cost of your work clothes plus the cost of maintenance expenses such as laundry and dry cleaning.
This could be a huge win for you and your business. Think about it. Do any of these statements apply to you?
You wear clothing with a business logo or some other uniform, such as scrubs.
You have frequent laundry or dry cleaning expenses.
You must use protective gear or equipment in your work.
If so, you’ll love this tax reduction strategy. If not, consider purchasing clothes that qualify for this deduction—the laundry costs alone could make the strategy worthwhile (and save wear and tear on your non-work clothes).
To take advantage of this great tax benefit, you’ll need to do just a little bit of planning. First, you have to prove ... Log in to view full article.