37. TOTAL ITEMIZED DEDUCTIONS FROM SCHEDULE
Line 25 of the Iowa Schedule A:
Do you need the Iowa Itemized Deductions Worksheet?
Iowa follows the Federal guidelines for
Schedule A itemized deductions with a few exceptions.
Enter the total amount of itemized deductions
claimed on your Federal or Iowa Schedule A. To complete either the Federal
Schedule A, refer to the Federal 1040 instruction booklet. Attach your
Iowa Schedule A or Federal Schedule A to your return.
Federal bonus depreciation:
Taxpayers with Federal bonus depreciation must complete and attach the Iowa
Schedule A, line 2:
Certain itemized deductions are allowed only to the extent that the deductions
exceed a percentage of Federal adjusted gross income. These include medical
and dental expenses that exceed 7-1/2% of Federal adjusted gross income, and
job expenses and miscellaneous deductions allowed to the extent the deductions
are greater than 2% of the taxpayers Federal adjusted gross income.
The Federal adjusted gross income used to determine these deductions is the
taxpayers Federal adjusted gross income plus any bonus depreciation
line 14 of the IA 1040.
Health insurance premiums:
100% of the amount paid for health insurance premiums is deductible on line
18 of the IA 1040. It may be to your advantage to take this deduction on
line 18 instead of
Schedule A. Schedule A may not contain any health insurance premiums which
were used as a deduction on line 18.
If your adjusted gross income on line 35,
Federal form 1040 (line 19, Federal form 1040A) plus any Iowa bonus depreciation
adjustment from line 14 of the IA 1040 exceeds $137,300 ($68,650 if filing
married separate for Federal purposes), you may not be able to deduct all
of your itemized deductions. If your Federal adjusted gross income exceeds
the above amounts, you must complete worksheet
IA 41-104 (fillable) to determine the amount to enter on line 39.
a. Mortgage Interest Credit Deduction.
Taxpayers with the mortgage interest credit can claim on their Iowa return
a deduction on line 9b of Schedule A for all mortgage interest paid in the
tax year and not just the mortgage interest that was deducted on the Federal
b. Vehicle Registration Fee Deduction.
If you itemize deductions, a portion of the automobile or multipurpose
vehicle registration fee you paid in 2002 may be deducted as personal property
tax on your Iowa
Schedule A and Federal Schedule A, line 7.
This deduction is for registration fees
paid on automobiles and multipurpose vehicles for 1993 and newer model years.
Use the worksheet below to calculate your deduction.
Multipurpose vehicles are defined as motor
vehicles designed to carry not more than 10 people and constructed on a truck
chassis or with special features for occasional off-road use. If the letters
MV are printed next to the word style on the registration certificate,
the vehicle is a multipurpose vehicle and qualifies for this deduction.
Registration fees on the following
vehicles are not deductible as an itemized deduction: pickups,
motor trucks, work vans, ambulances, hearses, non-passenger-carrying vans,
campers, motorcycles or motor bikes.
SUVs are deductible only if the letters
MV are printed next to the word "style" on the registration certificate.
If your vehicle is model year 1992 or
older, see line 40.
Use the following worksheet
to calculate the deductible
amount of 1993 or newer qualifying vehicles:
Enter the actual registration fee paid.
Take the weight of your automobile and divide it by 250. The weight
is found on your automobile registration certificate.
Subtract line 2 from line 1. This is the deductible amount for line 37.
Jason purchased an automobile
The actual fee he paid to register the automobile at the courthouse was $150.
The weight of the automobile is 3,000 pounds.
The deductible amount is calculated as follows:
Enter the actual registration fee paid.
Take the weight of your automobile and divide it by 250. The weight is
found on your automobile registration certificate.
Subtract line 2 from line 1. This is the deductible amount.
MARRIED SEPARATE FILERS:
If you used Iowa Schedule A, enter
the totals from line 29 and line 30, Iowa Schedule A, in Columns A and
B on line 39 of the IA 1040.
If you used Federal Schedule A, you
should prorate your itemized deductions between you and your spouse in
the ratio of each spouses net income on line
26, IA1040 to the total net income of both spouses. (However, this
allocation of itemized deductions should be done after any Iowa income
tax is subtracted from the total itemized deductions claimed on Federal
38 and line 40
of the IA 1040 should also be divided between husband and wife in the
ratio of their respective net incomes.
of how to prorate)
Go to Line 36
Go to Line 38