Interpreter Fees - Tax Deduction?

Steve

New Member
IRS Tax Helpline - "We appreciate your patience. Please do not hang up. Your call is important to us. If you hang up and call back now this may increase your wait as calls are handled in the order they are received. Please continue to hold, the next available representative will assist you as soon as possible."

Repeated every 20 seconds for 1 hr and 54 minutes!!! Then they could not even find the answer to my question, "Where can I deduct sign language interpreter expense for a non-public meeting?"

Our neighborhood homeowner's association meeting would not be covered under ADA as it is not open to the public. We don't expect the association to pick up up the fee, so we intended to write it if off on our tax return using Schedule A, itemized deductions. Per the IRS helpline, unless we use Schedule C (business), there is no place to enter it.

I guess we will have to write Senator Harkin now.


Steve
 

DeafSCUBA98

Active Member
if its not a business expenses then it should be in schedule A under miscellaneous.. ...

if its a business expenses then it should be on schedule C part 2"expenses" on line 27

my question is ... what did u pay the interpreter for?

if u are just using interpreter deductions only.. and its not enough.. i suggust to use the standard deductions..

and it depends what u use it for.. there is a 2% limititation from AGI (adjusted gross income) or its 2% is been omited.. its depends what u use it for.

i charged you $40... haha JK its free for AD forums only.. if i'm in mood
 

Steve

New Member
Nesmuth said:
It reminds me of this recent article

http://realtytimes.com/rtcpages/20060315_askhoa.htm

Richard

Richard, Thanks for the link. My wife and I are fully aware the interpreter fee would exceed reasonable accomodations. But, that made me think of something..

If we're paying $60 for a 2-hr meeting and our homeowner's association fees are $50/year, what would it hurt to ask that our fee be waved so that we can pay the interpreter's bill? (We only paid $120 total in interpreter's fees last year, the other meeting was my wife giving a presentation to Girl Scouts or something.)

DeafScuba, We already have enough deductions to itemize on Schedule A, instead of accepting the standard deduction. I'll look into placing interpreter fees (and your $40 :) ) under miscellaneous. They can always audit us!

Steve

P.S. I just read in the local Sunday paper that Senator Harkin was in a banquet room next to a restaurant where we were eating dinner on Saturday night! DOH!
 
H

HawaiiJo

Guest
It look like interpreting fees gone like a fender bender becoming 'total car accident' on paper because of high cost.

jo
 

Steve

New Member
...A better update:

"Write offs for anything over and above the neighborhood association fees" came up when chatting with our association's president yesterday.

He told me to give him a copy of the reciepts and he'll cut us a check!

No unneccesary tax form input needed for us now! :)

PAH!
FILED!
Steve
 

Y

New Member
Steve said:
...A better update:

"Write offs for anything over and above the neighborhood association fees" came up when chatting with our association's president yesterday.

He told me to give him a copy of the reciepts and he'll cut us a check!

No unneccesary tax form input needed for us now! :)

PAH!
FILED!
Steve


Great.. I wonder why or what made your assoc president
decide to pay for these interpreter fees ? perhaps
he realize that his assoc is able to get tax write-off for
some more refunds anyway ?
 

diehardbiker

Active Member
FYI, a person who hires interpreter and pays for them personally is NOT tax deductible! IRS does NOT consider it medically necessary, and don't allow such deduction for personal uses, that is why most business need to fork the expense because they are the ONES that can deduct them as business expenses. So be warned IRS will go after you if you go ahead with deducting interpreter expense as personal rather than business expense.

If you want to be able to deduct medical cost, you need to have total deduction not less than 7% of your Adjusted Gross Income (AGI). For example you have AGI of $20,000 and you need to come up with at least $1,400 dollars of medical expenses to be able to use for deductible on taxes.

IRS allows you have two choices, which you can pick one, NOT both! It is called Itemized deduction, and standard deduction. Whats difference between them? Standard deduction gives you definite amount you can deduct from your gross income. For example single can have deduction of $4,200 dollars (I can't remember exact amount). So single can TRY to itemize to see if itemizing exceeded $4,200 dollars then that single can go for Itemized deduction instead of standard deduction.

For me I always opt for standard deduction because I have kid, and even I own house, my mortgage interest expenses, and taxes haven't exceed the standard deduction, so in other word if I chose itemize deduction, I would end up owe more taxes. So forget it.

Do NOT confuse between deduction and credits. They are totally different. You can take credits for child care, retirement planning investment, EIC, etc.

My advice is talk with tax lawyer or any tax preparer, they should have definite answer for you. My input above is NOT intended as replacement for tax consulant.

Bottom line, encourage your businesses pay for the cost because they are tax deductible for them NOT you.
 

CODAchild

New Member
diehardbiker65 said:
FYI, a person who hires interpreter and pays for them personally is NOT tax deductible! IRS does NOT consider it medically necessary, and don't allow such deduction for personal uses, that is why most business need to fork the expense because they are the ONES that can deduct them as business expenses. So be warned IRS will go after you if you go ahead with deducting interpreter expense as personal rather than business expense.

If you want to be able to deduct medical cost, you need to have total deduction not less than 7% of your Adjusted Gross Income (AGI). For example you have AGI of $20,000 and you need to come up with at least $1,400 dollars of medical expenses to be able to use for deductible on taxes.

IRS allows you have two choices, which you can pick one, NOT both! It is called Itemized deduction, and standard deduction. Whats difference between them? Standard deduction gives you definite amount you can deduct from your gross income. For example single can have deduction of $4,200 dollars (I can't remember exact amount). So single can TRY to itemize to see if itemizing exceeded $4,200 dollars then that single can go for Itemized deduction instead of standard deduction.

For me I always opt for standard deduction because I have kid, and even I own house, my mortgage interest expenses, and taxes haven't exceed the standard deduction, so in other word if I chose itemize deduction, I would end up owe more taxes. So forget it.

Do NOT confuse between deduction and credits. They are totally different. You can take credits for child care, retirement planning investment, EIC, etc.

My advice is talk with tax lawyer or any tax preparer, they should have definite answer for you. My input above is NOT intended as replacement for tax consulant.

Bottom line, encourage your businesses pay for the cost because they are tax deductible for them NOT you.

:gpost: DieHard. Some of these professionals like doctor's, lawyers, employers do not realize when they pay the interpreter fees, they can write it off as a tax deduction. Some of these professionals needs to be educated on how to service the deaf better.
 
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