You could fill a fat book with often-overlooked tax breaks - in fact, many such guides jockey for shelf space at bookstores throughout tax season. Here are some deductions, credits and other tax-saving ideas worth exploring:
EMPLOYEES
•Excess payroll deductions for state disability insurance if you held two or more jobs
•Job-hunting expenses if you sought work in your current occupation
•Moving expenses
FAMILY
•Child tax credit of $1,000 for ages 16 and younger
•Up to $4,000 in college tuition and fees under the higher education tax deduction
•Up to $1,650 of college tuition and fees under the Hope credit, or $2,000 under the lifetime learning credit
•Child and dependent care credit worth up to $2,100 for working single parents and families in which both parents work
•A credit for up to $11,390 of adoption expenses by parents
INVESTORS
•The savers credit, worth up to $1,000 for low-income taxpayers who stashed at least $2,000 in an IRA or retirement account
•Investment advisory fees
•Up to $3,000 of capital losses that exceed your gains
MEDICAL EXPENSES
•Contact lenses, glasses, hearing aides, laboratory work and some hospital services
•Doctor-prescribed weight-loss programs and stop-smoking classes
•Prescription contraceptives, a vasectomy or, in the event either failed, childbirth classes
REAL ESTATE
•Certain mortgage insurance premiums
•Mortgage prepayment penalties and late fees
•Points on a mortgage and certain refinancings
TAXPAYERS
•Tax-preparation fees and audit representation
•A deduction or credit for income taxes imposed by a foreign country
OTHER
•Mileage and out-of-pocket expenses related to charitable activities
•Gambling losses offset by winnings
San Jose (Calif.) Mercury News
Sources: "J.K. Lasser's Your Income Tax 2008," "The Ernst & Young Tax Guide 2008" and Spidell Publishing
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