It’s almost that time of year again: tax time. Some people dread tax time for fear that they’ll owe money to the government. But many others look forward to doing their taxes. If you fall into the latter category, you’re probably expecting a check in the mail this year. But did you know that many tax deductions are often overlooked resulting in reduced tax return checks? Here are some tips that can help you maximize your return on this year’s taxes.
Many people lose out on potential deductions because they don’t take an organized approach to doing their taxes. If you want to get the total tax return you deserve this year, take the time to get organized. Write down all of the documents you have and contact your employer and financial institutions to determine if there are additional forms you can expect. Take a look at your personal finances over the past year to determine if you made any donations to charity. Look at monetary donations as well as clothing and household items you may have contributed to charity. Pull together all receipts and necessary documentation to submit along with your return.
Explore Commonly Overlooked Deductions
A quick online search for commonly overlooked tax deductions yields thousands of results. Consider doing some research ahead of doing your taxes to make sure you aren’t missing out on potential deductions. Some often overlooked deductions include child care tax credits, certain medical and dental expense deductions, excise tax credits, energy saving home improvements, IRA contributions, and mortgage interest deductions. Chances are you may be surprised by how many potential deductions you’ve missed on past tax returns. Taking the time to research commonly overlooked tax credits online can help you get the tax return you deserve this year.
Work With a Professional
Not everyone feels comfortable with filing their own taxes. This is especially true if you have a more complicated return. For example, those who own rental properties often choose to hire someone to help with the filing process. If doing your taxes feels like a confusing and daunting task, you may want to consider working with a tax professional in order to get the job done. An experienced tax professional will be able to provide advice, guidance, and assistance as you go through the process of organizing your tax forms and exploring potential deductions. Someone with years in the industry will be able to provide recommendations and identify commonly overlooked deductions quickly and effectively. Working with a tax professional will give you peace of mind that you are getting the tax return you deserve this year.
If you are expecting a tax return this year, there are a few steps you can take to maximize the amount you receive. Start by getting things organized. Look back in your email history to research charitable donations for the past year, and make sure you have all the documents you need before you file. Learning more about commonly overlooked deductions and working with a tax professional can also help you maximize your return. If you are a California resident, consider reaching out to one of the most highly regarded tax firms in Los Angeles for tax help today!