Reverse mortgage payments are not subject to federal income tax, since they count as nontaxable loan proceeds. However, you cannot deduct the interest paid on Schedule A, because the loan proceeds were not used to buy, build, or substantially improve the home that secures the mortgage.
A 529 plan can pay for a U.S. college student's study abroad semester or two through the school's program, provided the U.S. college is eligible and accepts the credits. If a student enrolls full-time at a foreign university, that university must participate in the U.S. federal student aid program to qualify for 529 funds. Many foreign colleges do participate.
Employer-paid pet insurance is taxable income to you, unlike employer-paid health insurance for workers. Most employers do not subsidize pet insurance, and employees pay their share through post-tax payroll deductions.
Charitable cash contributions are deductible on Schedule A only to the extent that total cash donations do not exceed 60% of adjusted gross income (AGI). Excess contributions can be carried forward five years. Donations of capital gain property like stocks and bonds have a 30% AGI limit. Starting with 2026 returns filed in 2027, charitable deductions on Schedule A are deductible only to the extent that total charitable donations exceed 0.5% of AGI, similar to the 7.5% threshold for medical expenses.
Keep tax returns, 1099 forms, and other third-party information returns for at least three years from the due date of your return. How long to keep monthly brokerage statements depends on various factors.