Tax Tip for Today
Business tax tip:
The 2014 standard business mileage rate is 56 cents per mile. A 10-mile trip to a business luncheon or client would result in a deduction of $11.20 (round trip x $.56). One 5-mile trip to the Post Office per week would give you a tax deduction of $291.20 per year.
Personal Tax tip:
If you itemize your deductions, some people try to take their Car Registration fee as a deduction under "Taxes Paid" along with their Real Estate Taxes on their house. In order to take the car registration fees, the fee must be based on the value of the car. In Texas, this is not the case: the fee is based on the weight of the car. Therefore, Texans cannot deduct their Car Registration fees as taxes.