The overtime deduction concerns qualifying overtime premium pay required under the Fair Labor Standards Act. It is not a deduction for all wages earned during extra hours.
A payroll line labeled overtime is not enough to establish eligibility. Preserve pay statements and ask payroll for the qualifying premium amount. The deduction has dollar limits and income phaseouts.
Your next steps
- Gather pay statements and year-end reporting.
- Identify the premium above your regular rate.
- Review eligibility, limits, and filing-status requirements.
General education, not individualized tax or legal advice. Illustrations use stated assumptions and do not promise a refund or tax saving.
Make this relevant to your situation.
ML Taxes & Accounting can review your income, records, and goals before you make a tax decision.
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