Schedule A (Form 1040)

Introduction 

Form 1040-schedule A shows the relationship between a taxpayer's annual report and the account and finance statements. According to United States tax law, an itemized deduction are eligible expenses claimable by an individual taxpayer on the federal income tax returns. The itemized deductions decrease an individual's taxable income and are claimable in place of standard deductions. Taxpayer's taxable income can be calculated by adding itemized deduction and personal exemptions and subtracting it from the adjusted gross income (AGI).Alternatively, one can deduct the standard deduction for their filing status to arrive at taxable income. 

Allowable deductions on Form 1040-Schedule A 

Reporting of a taxpayer's annual expenses enable tract of spending and supporting of receipts and documentation such as property tax statement, insurance bills and medical bills. Deductions included here are; medical and dental expenses include the cost of insurance premiums as long as the employer does not reimburse you for them and also other qualifying dental and medical care. The tax deduction is obtained from the portion exceeding 10% of the adjusted gross income. The deduction is reduced for two years under the Senate's version of the Tax Cuts and Jobs Act. L ocal and state taxes paid including property taxes and income taxes are part of itemized deductions except for use taxes, excise and penalties. Mortgage interest expenses on debts purchase, investment interest expenses up to the amount of reported income from investment, deductions on charitable contributions to allowable recipient limited to 30% or 50% of AGI depending on the characterisation of the recipient. Theft losses and casualty extent that exceed 10% of taxpayer's AGI is paid less deduction and gambling losses to the extent of gambling income. It results in a break-even gambling activity for tax purposes for that year. Job expenses and other miscellaneous deductions are all under the Senate and House version of the Tax Cut and Jobs Act. 

Medical and dental expenses are a preferable deduction for me. This is because it has some allowable expenses including; capital expenditures that are advised by a physician and the expense is reasonable. Treatment payments to doctors and drugs prescription, premiums for medical insurance, travel expenses and non-deductible medical expenses. Most taxpayers don't take this deduction because of the 10% floor (means medical expenses is paid less the 10% of the AGI). Taxpayer's reporting for medical and dental deductions will benefit in that they can claim standard deductions. They will get a deduction of medical expense, get to enjoy an allowance that in case of itemized deduction is lesser by 3% of the AGI over the applicable amount which is 80% of the total itemized deductions otherwise allowable according to filing status.