It’s almost tax preparation time in San Jose, and you may be feeling the crunch. In a state hard-hit by the recession, and in a city whose pace doesn’t allow for free time - how can you get your taxes done right? We at Jerry Slade and Associates decided to give you some free tips to help with tax preparation.

To all you job hunters:  We see ‘em every day.  Especially the 20-something year-olds.  If you live in San Jose, odds are you have changed careers at least three times by the time you reach 30.  Well…..if you’re working on your tax preparation,

consider deducting all of the costs you incurred while looking for a new job.

Can you really do that?  Absolutely!

Those charges you racked up at Fed Ex sitting in front of the computer and printing your resume, (ahh the tasteful thickness of it) – Deduction

Car mileage when driving up and down Silicon valley looking for a new gig-Deduction.

Did you fly or drive somewhere else looking for a new job? Air fares, mileage, lodging, laundry and transportation while there, including taxis, buses, trains, etc.-Deduction

Did you buy publications about the industry you considered while looking for a new job?-Deduction.

Of course, be mindful when composing the tax preparation.  These are just “Miscellaneous” deductions when can only be taken while itemizing your deductions and then only to the extent they and other Miscellaneous deductions exceed 2% of your Adjusted Gross Income.


To Chronic Renters: Another feature of living in San Jose are you “perma-renters.” Young professionals and part-time students who move every time you see a new deal come up. With rents so low, I can’t blame you!

However, if your move follows or proceeds the acceptance of a new job- you can deduct that!

Provided the new job is 50 plus miles away from your house. Careful though, if your new boss pays moving costs, you shouldn’t claim this one on your tax preparation--you might get dinged for it.

To Underwater Home Owners: With almost 200,000 homes in Santa Clara county underwater, a lot of San Jose residents are wondering how to make ends meet. Many of them end up renegotiating with lenders, either through short sale or short refinance. But shock turns to fear when they find out that forgiven debt...may or may not be tax deductible.

Luckily, there’s a solution: You can temporarily be exempt from taxes resulting from forgiven debts on your primary residence. Whew! What a relief.

These are just a few categories of people that need to be especially aware of their tax situation. Tax code is complicated, and I don’t recommend trying to figure out the rules yourself, or poke around the IRS site and take certain provisions out of context.

To learn more about tax preparation from a professional, click here.