Q. I am a retired residential construction contractor and my wife just signed us up for a 2 week stint with Habitat for Humanity this summer. How much can we deduct for the value of my time and services?
A. Unfortunately there is no deduction allowable for the value of time and services. You may be able to deduct your travel costs if you need to drive to the location where the project is. You can also deduct any out-of-pocket expenses incurred in connection with the project. I'm thinking of some small tools, hardware, safety glasses, etc. but only if you are not reimbursed for these items. You must keep all receipts and a clear record of the items purchased and used in connection with this project. The deduction is taken on Schedule A. Of course if you take the standard deduction, no record keeping is required!