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Learning more about tax preparation can help many Americans improve their tax returns so they can have more money to offset the lack of funds in their daily budgets. Here are some ways to increase your tax return.
Tax Preparation Tip #1
This year there is a new tax deduction that allows taxpayers that do not itemize their taxes to be able to increase their standard deduction by the amount of real property tax. This tax deduction was only available in previous years to taxpayers that itemized their tax return.
Tax Preparation - Tip #2
An important way to increase your tax return is actually decreasing your tax bill. For working parents this is able to be achieved by taking a tax credit for childcare expenses. A tax credit actually reduces your tax bill dollar for dollar. Depending on your gross income you can receive a tax credit between twenty and thirty-five percent of your childcare costs.
Tax Preparation - Tip #3
Many people are making the effort to go green. If you are one of the people trying to save the environment you may be rewarded by being able to use certain tax credits that have been instituted. The biggest tax credit in this area is if you purchased a hybrid vehicle. However, you may be able to receive a tax credit for things such as an energy efficient roof or appliances.
Tax Preparation - Tip #4
With the rising cost of health care another great way to increase your tax return is by deducting your medical expenses. Your miscellaneous medical expenses can also be deducted such as if you need special equipment for a medical condition. A tax deduction many taxpayers are not aware of is the deduction of mileage that is primarily to medical treatment such as chemotherapy.
Tax Preparation - Tip #5
Many people may be in the job market after being laid off from their employer. Unemployed taxpayers should be aware that if they are searching for employment in the same field and same level they were laid off from they can deduct some of their job search expenses. Some of the items that can be deducted are agency fees, resume preparation and travel.
Tax Preparation - Tip #6
Many taxpayers are unaware that they are able to write off some of the very expenses they spend in tax preparation. Under miscellaneous itemized expense you can write off tax planning expenses, tax preparation expenses and legal and accounting fees.
Tax Preparation Tip #1
This year there is a new tax deduction that allows taxpayers that do not itemize their taxes to be able to increase their standard deduction by the amount of real property tax. This tax deduction was only available in previous years to taxpayers that itemized their tax return.
Tax Preparation - Tip #2
An important way to increase your tax return is actually decreasing your tax bill. For working parents this is able to be achieved by taking a tax credit for childcare expenses. A tax credit actually reduces your tax bill dollar for dollar. Depending on your gross income you can receive a tax credit between twenty and thirty-five percent of your childcare costs.
Tax Preparation - Tip #3
Many people are making the effort to go green. If you are one of the people trying to save the environment you may be rewarded by being able to use certain tax credits that have been instituted. The biggest tax credit in this area is if you purchased a hybrid vehicle. However, you may be able to receive a tax credit for things such as an energy efficient roof or appliances.
Tax Preparation - Tip #4
With the rising cost of health care another great way to increase your tax return is by deducting your medical expenses. Your miscellaneous medical expenses can also be deducted such as if you need special equipment for a medical condition. A tax deduction many taxpayers are not aware of is the deduction of mileage that is primarily to medical treatment such as chemotherapy.
Tax Preparation - Tip #5
Many people may be in the job market after being laid off from their employer. Unemployed taxpayers should be aware that if they are searching for employment in the same field and same level they were laid off from they can deduct some of their job search expenses. Some of the items that can be deducted are agency fees, resume preparation and travel.
Tax Preparation - Tip #6
Many taxpayers are unaware that they are able to write off some of the very expenses they spend in tax preparation. Under miscellaneous itemized expense you can write off tax planning expenses, tax preparation expenses and legal and accounting fees.
