Bought an Investment
may take deductions for certain expenses you incur in the production of taxable
investment income such as management fees, advisory fees, custodial fees, and
investment periodicals. Qualified investment expenses are deductible on Schedule
A to the extent that they exceed your investment.
Bought Rental Property
As a landlord you will
have income and expenses. Rental income includes payments made by an occupant
for the use of property, payments to cancel a lease, advance rent, and any
security deposit used as a final payment of rent. Some of your expenses, such as
rent lost due to a vacancy, are not deductible. Improvements made to the
property must be depreciated over a prescribed number of years and cannot be
deducted all at once.
If your Form 1099-INT or Form 1099-DIV shows you paid
foreign taxes, you may be eligible to claim either a credit or an itemized
deduction for these taxes. Generally, the foreign tax credit results in a
greater tax savings than deducting the foreign taxes as an itemized
Sold Partnership Interest
When you sell your interest in a Partnership any prior year unallowed
losses are allowed in the year you sell your interest. Your K-1 should have the
Final K-1 box selected.