And How They Could Increase Your Refund
Most taxpayers only claim the “obvious” tax deductions—standard deduction, interest, dependents, maybe retirement contributions. But the IRS allows dozens of deductions most people don’t even realize they qualify for.
Missing them means leaving money on the table and giving the government more than necessary.
Here are 8 commonly overlooked deductions that could reduce your tax bill and potentially increase your refund.
1. State Sales Tax Deduction
Most people automatically deduct state income tax, but in states with low or no income tax, you can deduct sales tax instead.
This is especially useful in states like:
- Florida
- Texas
- Nevada
- Washington
- Tennessee
And even if your state does have income tax, the sales tax deduction can be larger if you:
- bought a vehicle,
- renovated a house,
- or made large purchases during the year.
2. Student Loan Interest (Even If Someone Else Paid It)
If your student loans were paid by:
- a parent,
- spouse,
- someone else,
- or even automatically through an employer…
you may still get the deduction, because the IRS counts it as if YOU paid it, as long as you’re legally responsible for the loan.
Up to $2,500 per year is deductible depending on income.
3. Self-Employed Health Insurance
If you are self-employed (even part-time), you may be able to deduct:
- medical premiums,
- dental insurance,
- long-term care insurance,
- Medicare premiums,
- dependent insurance coverage.
This reduces taxable income, even if you don’t itemize.
4. Charitable Donations (Non-Cash Included)
Most people only claim cash donations, but the IRS allows deductions for:
- clothing
- household goods
- electronics
- furniture
- volunteer mileage
- charitable travel
If you donated items to Goodwill, Salvation Army, or church—you may be missing deductions.
5. Teacher Classroom Expenses
Teachers routinely spend hundreds of dollars on classroom supplies.
The IRS allows a deduction for qualified expenses—even if you don’t itemize.
In many cases, you can also deduct:
- classroom technology
- books
- PPE supplies
- training materials
Certain states allow additional credits or deductions beyond the federal limit.
6. Saver’s Credit (A Free Tax Credit for Retirement Contributions)
This one is overlooked constantly.
When you contribute to:
- a traditional IRA,
- Roth IRA,
- 401(k),
- or certain retirement plans…
You may qualify for a Saver’s Credit worth up to $1,000 (or $2,000 for married couples).
This is not a deduction—it’s a tax CREDIT, which is more valuable.
7. Job Search Expenses (Under Certain Circumstances)
Some job-related expenses are no longer deductible under tax law changes, BUT certain job searches, job transitions, or specific circumstances still may qualify depending on:
- education,
- relocation,
- required certifications,
- or union membership fees.
This applies to some workers even if deductions are limited—especially in specialized fields.
8. Home Office Expenses (Even for Partial Work)
You don’t need a full home business to deduct this. If you work from home and have a dedicated space used regularly and exclusively for work purposes, you may claim:
- rent portion
- utilities
- internet percentage
- supplies
- repairs
- depreciation
Even remote employees may qualify if required by the employer under specific conditions.
Bonus: Did You Move, Have a Baby, or Change Jobs?
Every major life change has tax implications, including:
- marriage
- divorce
- buying a home
- college
- childcare
- retirement
- unemployment
- self-employment
These situations often unlock deductions taxpayers simply don’t know exist.
You Might Be Missing Hundreds—Even Thousands
Skipping deductions doesn’t just reduce your refund—it means you’re paying more tax than you owe.
Most taxpayers only use the standard deduction and miss dozens of tax advantages because they:
- don’t itemize,
- don’t track expenses,
- rely fully on software defaults,
- or simply don’t know what’s available.
This is where talking to a tax professional makes a difference.
Protect Your Money — Claim Everything You Qualify For
Tax law changes constantly, and many deductions phase in and out every year.
The IRS grants deductions to encourage specific behaviors, so if you qualify—you should absolutely claim them.
Better refund. Lower taxes. More money in your pocket.
