End of the year tax advice
Wed, 23 Dec 2009 01:06:08 GMT —
The year is coming to an end, and it is only a matter of time before tax season begins.
"There are some things you can do right now that would put some money back in your pocket for tax season."
But most of these opportunities will be gone by year TMs end. "You have until December 31 to make a contribution either by cash or donating items," said Gayle Rice, a tax specialist with H&R Block.
She said someone can claim a charitable donation on their taxes by writing off the money amount of the value of the item. But a receipt or void check must be presented.
"Prepay some of your bills ahead of time and that will help you increase your tax return," she added.
She cited some examples of those bills as college tuitions, which will allow taxpayers to deduct education tax credits, or paying off property taxes early.
"If you bought a car before the end of the year you can actually take the sales tax on your car as a deductable," she concluded.
She also said taxpayers should start collecting their receipts and organizing important documents.
As she best put it, "April 15th date does sneak up on us pretty quickly."