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$250 Tax Deduction for Teachers
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There has been a tax break for teachers in the past that lost its place on the tax forms this year. The break, which allows teachers to deduct up to $250 that they spent in 2006 for books and classroom supplies, expired on December 31, 2005. Congress put it back into the IRS regulations in 2006, but the change was too late to get printed on the forms for this year.
Under the law, teachers and their aides can deduct up to $250 that they spent in 2006 for books and classroom supplies. Although there is no printed place on the tax forms, you can enter your deduction on Form 1040, line 23, the line now used for the Archer medical savings account (MSA) deduction, and write “E” on the dots to the left. If you also claim the MSA deduction, write “B” for both on the dotted line and attach a breakdown of how much you’re claiming for each.
IMPORTANT: you get this deduction even if you don’t itemize.
HomeroomTeacher does not give tax advice. This tip was obtained from sources which are highly regarded, but any questions should be addressed to your tax advisor.
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