Itemized Deductions

Itemized deductions are those specific deductions, such as mortgage interest on a home, local property taxes, charitable contributions, and job expenses that reduce your total income on your tax return. The IRS looks at such deductions and flags those that appear to be out of the ordinary. They will also take notice if the percentage of deductions seems rather high, such as a self-employed individual claiming deductions that exceed 63 percent of his or her income on Form 1040 Schedule C.
In some cases, one of your itemized deductions may be considerably larger than the others, which also can draw attention to your tax return. On the positive side, if there is just one area of concern, it can make it easier to focus the attention ...

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