Find Out How To Save Thousands On Your Next Tax Bill
We’ve been talking about tax season recently because, well, it’s that time of year again. If you’re unhappy with the size of your refund this tax season, there are steps you can take that might enable you to shave potentially thousands from your next tax bill. We’ll share a few in this issue.
- Reconsider your filing status A lower tax refund may be the result of using the wrong filing status. For example, if you are a single parent or are supporting a dependent, you should not be using the “single” filing status. Instead, the smart move is to use the “head of household” filing status. In the 2016 tax year, the standard deduction for those using “single” filing and married people filing separately is $6,300; for heads of households, it’s $9,300.
- Take a look at deductions you can take There are tons of deductions – many of which are not well known. For example, if you move, some of the associated expenses – truck rental or hiring of moving company – may be deductible if your job caused you to change locations. For this particular deduction, you don’t even have to itemize!
- Think about bundling deductions Bundling some expenses may pay off big time for you. A good way to do this is to front-load charitable donations by making them in late 2017. By doing this, you’ll have a bigger amount to claim as deductions.
- Look into credits that are available to you As with deductions, there are quite a few tax credits that can actually shrink your taxable income. Some of the credits include education expenses, child adoption, providing care for children and dependents, home improvements for energy efficiency, and more.
If you have financial questions, call The Oswalt Law Group
Our legal team can help you understand your rights and the options you have concerning your financial situation. To schedule a free consultation, call us at 602-225-2222.