Chapter 6: Individual Deductions

Chapter 6: Individual Deductions

1. Business Activities

   • Deduction for AGI: Self-employed business expenses
     • Not deductible: Unreimbursed employee business expenses

2. Investment Activities

   • Deduction for AGI: Rental and royalty expenses
     • Deduction from AGI: Investment interest expense
       • Not deductible: Other investment expenses

3. Qualified education loans

   • Loans whose proceeds are used to pay qualified education expenses

4. Qualified education expenses

   • Consists of tuition and related costs for enrolling the taxpayer, spouse, or a dependent at a postsecondary institution of higher education