However you work your taxes - the old-fashioned way, utilizing software packages or hiring a professional - it is more than worthwhile to be aware of the income tax deductions and credits which can save you money.
According to the Internal Revenue Service, the biggest claimed value comes from personal exemptions, which in 2005 came to […]
Burden for preparers
Tax preparers may start being tougher in asking you to prove your entitlement to certain deductions. This is because a law was recently passed that requires these professionals to help weed out tax dodgers. This may result in increased paperwork and greater fees to some taxpayers since a longer amount of time will […]
If you’ve ever stooped through a short door or tried to reach a book off the top shelf you know how uncomfortable it is to be the wrong size. The same thing is true with taxes - many tax benefits are only available to families and individuals whose AGI (adjusted gross incomes) or MAGI (modified […]
Deductions are expenses the IRS allows you to subtract from your taxable income, lowering your overall tax bill. There are two ways to file deductions - using the standard deduction, and “itemizing.”
Standard Deductions
Every taxpayer is allowed to take a standard deduction. The standard deduction assumes you have an “average” amount of tax-deductible expenses, and lumps […]
What’s the difference between a taxidermist and a tax collector? According to Mark Twain, “The taxidermist takes only your skin!” Many Americans would agree with him - tax bills often seem unreasonably high. Fortunately, there are many completely legal ways to reduce your taxes and keep more of your hard-earned money for yourself and your […]
Homeowner Assistance for 2007
Increasing the amount for AMT exemptions was one of many changes in tax law during 2007. The federal legislature also made possible tax deductions for persons facing home foreclosures, as well as those purchasing mortgage insurance policies last year.
Mortgage insurance is mandatory in cases where buyers put down less than one-fifth of […]
Deducting mileage for your commute is not allowed by the IRS unless you know a few commuting mileage tax deduction tricks. The IRS mileage allowance can include virtually all your commuting mileage expense, allowing you to take a mileage tax deduction for the miles you log from your home to the office or other place […]
If you own rental property, you should be aware of your tax deduction options. Knowing how to save money can help you to pay your mortgage and keep your income higher from your rental units. You can get different benefits and should know about the normal deductions that you can make from your properties.Here’s a […]
Canada, like the US, has two tax systems - one for employees, and another one – for business owners. This is not what the CRA will tell you but the fact remains - employees are very limited in what they can write-off while businesses are entitled to a wide variety of legally deductible business expenses. […]
Tax season is here. It’s time to dig out all your receipts, paperwork, documentation and cuddle up with your calculator.
It can be a real pain to figure out what you should, could, or can’t deduct. But, finding all your deductions can really add up to a big refund.
Experts have said many taxpayers forget to deduct […]