A tax deduction is an item you can subtract from your taxable income to lower the amount of taxes you owe. Browse Investopedia's expert-written library to learn more. 

Beach houses in Kure Beach, North Carolina
How to Minimize Taxes on Your Second Home
Modified Accelerated Cost Recovery System (MACRS): A tax depreciation system used in the United States that allows the capitalized cost of an asset to be recovered over a specified period via annual deductions.
Modified A🅘cceಌlerated Cost Recovery System (MACRS): Explanation and Types
Stock exchange graph and numbers
Section 1244 ꦆStock: Definition and Qualification R🍷ules
Couple buying house from owner
Is PMI or MIP Tax Deductible?
Woman with receipts in hand calculating the totals on a cell phone.
Form 2106-EZ: Unreimbursed Employee Busi🐻ness Expenses—Overview
Form 390💎3: Moving Expe💎nses: What It is, How it Works
Woman reading book in café with chalkboard menu in background
16 Tax Deducꦛtio🎃ns and Benefits for the Self-Employed
Child loading up dishwasher
Additional Personal Allowance: What It 👍is, How It Works
Adult couple working on finances
What Ar🐈e Itemized Tax 🅰Deductions? Definition and Impact on Taxes
A retirement advisor specializes in helping people plan and prepare for their futures
7 Insurance-Ba♌sed Tax Deౠductions You May Be Missing
High angle view of mid adult man working from home
How to Deduct Stock Losses From Your Tax Bill
Tax Deduction: A sum you can deduct from your taxable income to lower the amount of taxes you owe.
Unders❀tanding Tax Deductions: Itemized vs. Standard Deduction
Long-Term Capital Gain and Loss: The gain or loss that comes from the sale of an investment owned for longer than 12 months.
Lo🌠ng-Term Capital Gains and Losses: Definition and Tax Treatment
Pregnant woman working from home
5 Most Overlooked Tax Deductions
Tax-Loss Harvesting
Tax-Loss Harvesting: Definition and Example
Capital Loss Carryover: The net amount of capital losses eligible to be carried forward into future tax years.
Capitﷺal Loss Carryover: Definition, Rulꦯes, and Example
Tax Shield: A reduction in taxable income by claiming allowable deductions such as mortgage interest and medical expenses.
Tax Shield: Definition, Formul༺a for Calculation,𓆉 and Example
tax accountant meeting with client in office
🧔Form 4952: Investment Interest Expense Deduction Overview
Family playing together at home
Tax-Deductible Interest: Deওfinition and Types That Qualify
Combing Through the Fine Print
Property Tax Deduction: Definition,💞 ꧒How It Works and How to Claim
Small Business Supply Chain
Unders🌳tanding Business Expenses and Which Are Tax Deductible
Annual Investment Al▨lowance (AꦆIA) Definition, Eligibility
Personal Income Taxes
IRS Publication 529 (Miscella♏neous Deductions): Overview
Qualified Production Activities Income (QPAI)ꦰ: ♚Overview
Young female artist in studio working on laptop.
Ordinary and Nꦑecessary Expense: What it is, H🐎ow it Works
Two older adults with a table and stylus standing in an aisle with equipment and products all around them.
Ordinary Loss Tax Deduction: What It ♍Is and How It Works
For a Secure Future You've Got to Plan for It
IRS Publication 463: Travel, Gift, and C🌜ar Expenses Overview
Tax Deductible: An expense that can be subtracted from adjusted gross income to reduce the total amount of taxes owed.
What Do🔥es Tax Deductible Mean, and What Are Common Deductions?
Recapture: What it is, How it Works, Uses
Home Office: What it is, How it Works, FAQ
A couple at an art museum
Fractional Gift: What It Is, How It Works, an☂d Example
The Internal Revenue Service (IRS) building stands on April 15, 2019 in Washington, DC.
Are IRS Penalti𒁃es Tax Deductible? The Answer May Surprise You
Girl helping hold large donation check in community center
Charitable D✅onation: Definition, Examples, Tax Deduction Rules
Percentage Depletion: Meaning, Overview, Benefits
Foreign Ta✨x Deduction: What it Mꦛeans, How it Works, Example
Woman talking to senior couple with paperwork in hand and a laptop in front of her.
Itemized Deductions: ꦓWhat It Means and How to Claim
A salesperson looks at phone while pumping gas into a truck on the way to their next client call.
Standard Mileage Rate Tax Deduction: An Overview
Couple looking at papers and laptop discussing whether to change their mortgage company.
M💮ortgage Interest Deduction: Overview and Examples
IRS Publication 536
Smith Maneuver: A tax strategy that effectively makes interest on a residential mortgage tax deductible in Canada.
The Smith Maneuver: Definit𒐪ion, How It Works, and How to Use It
Business travel
Lodging Expenses: What They are, How They Work
A member of the military gets help from a friend to load boxes into a moving van after getting resigned to a new base.
Transportation and Storage Costs Tax Deduction: Whඣat It Is and How It Works
A woman on a laptop surrounded by papers
Primary Business Purpose: What It is, Howꦏ it Works
A woman reviewing papers
Casualty and Theft Losses: Overview and Examples
Away From Home
A teacher reads to elementary school classroom children
Educator Expense Deduction: What It 🌠Means, How It Works,🐓 Limits
 Chevrolet Cruze cars are offered for sale at Jack Phelan Chevrolet on October 25, 2016 in Lyons, Illinois. The compact car was discontinued in 2019.
Track Your Mileage for Taxes in 8 Easy Steps
Writing note showing Tax. Business photo showcasing Compulsory payment of taxes by people to government increase revenue Cyan paper imagination idea crumpled papers mistakes several tries.
Assessable Pr🦹ofit: What It is, How It Works, Example
How to Deduct Your Stock Losses and Increase You💝r Tax Savings
Cut Taxes by Reporting Property Damage
Capital Losses and Tax
White man with glasses sitting at a desk in office-like at home setting with two laptops.
How to Qualify for the Home Office Tax Deduction
Young woman petting cat while working from home
Rental Property Tax Deductions
Reduce Your Taxable Income With Above-the-Line🔯 Deductions