Deductible

Baltimoresun.com's tax-advice column features three experts from the Hunt Valley accounting firm SC&H Group answering questions about preparing your return every Monday until April 17. To be included in the following weeks, please use the form at the right side of this page to submit your questions. Nancy M. Bandiere, Baltimore: Filing head of household for a mother in [an] assisted-living facility for her safety and welfare, what may I deduct other than [medical] expenses, [medical] premiums, [prescriptions]

Baltimoresun.com's tax-advice column features three experts from the Hunt Valley accounting firm SC&H Group answering questions about preparing your return every Monday until April 17. To be included in the following weeks, please use the form at the right side of this page to submit your questions. Scott, Glen Arm: We bought a Volkswagen Jetta diesel in July of 2005. The car averages 50 miles per gallon on the highway. Does this purchase qualify for a tax credit/deduction per last year's federal energy act?

Baltimoresun.com's tax-advice column features three experts from the Hunt Valley accounting firm SC&H Group answering questions about preparing your return every Monday until April 17. To be included in the following weeks, please use the form at the right side of this page to submit your questions. Bernie Weill, Brooklyn, N.Y.: Can I deduct losses on my house destroyed by a fire during 2005, although I have not yet settled with the insurance company as of Dec. 31, 2005? SC&H Group: Generally, you can deduct a casualty loss only in the tax year in which the casualty occurred.

President Bush's proposed 2007 budget would allow federal workers' largest health insurer to launch a new high-deductible plan, called a health savings account, that the White House predicts would save billions of dollars but also increase burdens on consumers. Many Americans first heard about these accounts in the president's State of the Union address Jan. 31, and, like most health care options, they are complex. Such accounts first became available to federal workers in 2003 but haven't been widely used - only about 3,900 out of millions of federal employees chose a high-deductible plan as of March 2005, according to the Office of Personnel Management.

Throughout tax season, Baltimoresun.com is publishing a weekly question-and-answer column with Jim Wilhelm, Stuart Rudo and Greg Horning from the Hunt Valley accounting firm SC&H Group on common questions that may come up as you prepare your returns. Here is an edited transcript of this week's column: My mother has medical expenses that total over $25,000 for this year. Most of this is for what we pay people to come in and help her with basic needs such as bed, bath, feeding, etc. We pay people out of our pocket and do not withhold any taxes.

Baltimoresun.com's tax-advice column features three experts from the Hunt Valley accounting firm SC&H Group answering questions about preparing your return every Monday until April 17. To be included in the following weeks, please use the form at the right side of this page to submit your questions. Janet Gainey, Baltimore: My husband is collecting retirement from SSA and support for our two minor children from SSA ($386 each). IRS informed us that a portion of my husband's retirement is taxable after filling out the form in the book and that none of the support for our children is taxable.

President Bush's proposed 2007 budget would allow federal workers' largest health insurer to launch a new high-deductible plan, called a Health Savings Account, that the White House predicts would save billions of dollars but also increase burdens on consumers. Many Americans first heard about these accounts in the president's State of the Union address last week, and, like most health care options, they are complex. Such accounts first became available to federal workers in 2003 but haven't been widely used - only about 3,900 out of millions of federal employees chose a high-deductible plan as of March 2005, according to the Office of Personnel Management.

On February 3, 2006, EDWARD J. AUER, 87, of Riviera Beach, MD, died of a long illness. Beloved husband of the late Angela Margaret Auer (nee Gebhart); precious father and father-in-law to Susan Auer Kallstrom and James K. Kallstrom, Edward F. Auer and Debra Kirk Auer, Gary L. Auer and Robin Auer and Joan Marie Auer; adored grandfather to Erika L. Kallstrom, Kristel Kallstrom, Michael Auer and Madison Auer. Funeral arrangements are as follows: Funeral Mass at 10 A.M. in St. Jane Frances Church, Riviera Beach, MD, followed by a Veteran Service at 11:30 A.M. in Crownsville Veterans Cemetery Chapel, Generals Highway.

Baltimoresun.com's tax-advice column features three experts from the Hunt Valley accounting firm SC&H Group answering questions about preparing your return every Monday until April 17. To be included in the following weeks, please use the form at the right side of this page to submit your questions. Hilda Snipe, Baltimore: Can you file [as] head of household without claiming the household and without itemizing? SC&H Group: One of the requirements of filing as head of household is that the taxpayer must maintain as his/her home a household that is their principal place of residence for more than half of the year.