If you are like us you are always looking for an extra deduction around tax time. But have you ever considered your wedding expenses? If you are planning to get married you may be able to do a few things that could put some money back in your pocket come tax time.
There are two primary areas that you will want to pay attention to for tax deductions when planning your wedding. First is the venue and second is donations. Let’s take a look at each of them individually.
If you are having your wedding at a qualified venue you may be able to deduct the costs. A qualified venue could be a church, museum or state/national park. Typically, the payment to these venues can be considered a donation because the venue is a non-profit or government agency. You can ask the venue when making arrangements if the payment can be considered a tax deduction. It is important to check with the venue first and consult your tax advisor for more information.
Most of us are aware that donations are tax deductible. Therefore, it is the same principal for a wedding. Anything that you can donate may be tax deductible so keep an eye out for items that you will no longer need after the wedding. You may be able to write off the value of the items, but just make sure and keep your original purchase receipt and get documentation on what was donated. We typically take pictures of the items we are donating both before we donate them and at the drop off. As always, consult a qualified tax advisor for specific details on how much you may be able to recoup on your tax bill.
Making a donation or supporting a non-profit can feel good and help out your bottom line. However, laws vary from state to state and country to country, so it is a critical that you get advice from a tax expert in your area. I am not a tax expert and you should certainly consult one if you are considering taking advantage of some of these tax deductions. A tax expert may also be able to help you identify additional tax deductions and make sure you have everything in order just in case the tax office steps in.