37. TOTAL ITEMIZED
DEDUCTIONS FROM FEDERAL SCHEDULE A.
Iowa follows Federal guidelines
for Schedule A itemized deductions with certain exceptions.
Enter the total amount
of itemized deductions claimed on your Federal or Iowa Schedule A. To complete
either the Federal or Iowa
Schedule A, refer to the Federal 1040 instruction booklet. Attach your
Iowa Schedule A or Federal Schedule A to your return.
Federal bonus depreciation must complete and attach the Iowa Schedule A.
DENTAL AND INSURANCE EXPENSES
Schedule A, line
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
adjustment from line
14 of the IA 1040.
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 AGI EXCEEDS
($69,750 if filing married separate for Federal
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
$139,500 ($69,750 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.
TO FEDERAL SCHEDULE A
Federal bonus depreciation.
Taxpayers with bonus depreciation must use Iowa Schedule A.
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.
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 Schedule A.
Fee Deduction. If you itemize deductions, a portion of the automobile
or multipurpose vehicle registration fee you paid in 2003 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.
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.
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.
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.
purchased an automobile from Jennifer.
The actual fee Lola 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.
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)
to Line 36
to Line 38