Charitable Summer Giving Equals Tax Deductions

During the leisure-driven summer season, people should still want to increase their charitable giving. Not only is this a noble enterprise, but it also benefits the taxpayer during tax season. There are many avenues of giving that can earn a tax deduction for the average person.

For instance, children’s summer camps provide fun and safe day care to many needy kids. They rely on donations to help parents with summer time care while parents are working and the kids are not in school. Another good avenue is finding a community fan and air conditioning drive which helps families and the elderly avoid heat-related illnesses during the sweltering summer months.

The national debt clock outside the IRS office...
The national debt clock outside the IRS office in NYC. (Photo credit: Wikipedia)

Or, finish your spring cleaning in the summer. Donate the clothing, household goods and other items no longer needed to not for profits who refurbish and resell them in their thrift stores.

Here is a caution, however. While charitable giving is important and worthwhile, be sure to check that the organization is legitimately not for profit. Check its references online. Ask friends and relatives what they know about it. Call the organization to inquire about its tax exempt status. Don’t donate unless you know all the proper paperwork is in the hands of the Internal Revenue Service.

To further credential your charitable giving this summer, be sure to save the receipts the not for profit provides with a donation. Use online tax software such as Turbo Tax to keep your donation records in good order. Turbo Tax Its Deductible records everything necessary to give correct documentation to the IRS come tax season.

Remember, no matter how you spend your leisurely summer days, plan to send some money, time and belongings to the charitable organization of your choice. Correctly recorded and documented, those donations will add up to nice tax deductions in April.

Turbo Tax And Mortgage Tax Deductions

Turbo Tax 2014 and Mortgage Tax Deductions

Many homeowners feel that it is more beneficial to claim a mortgage tax deduction than to pay off their mortgage. However, they really need to consider whether it is more beneficial to build up their savings or to pay off the mortgage debt completely.

English: mortgages Green Bay, WI
English: mortgages Green Bay, WI (Photo credit: Wikipedia)

First, a homeowner needs to look carefully at all the items on the return. You need to know that a tax credit is not the same as a deduction. Deductions decrease the taxes you are obligated to pay; while tax credits reduce your taxable income. If you do not have a mortgage, you may pay more taxes; however, the taxes you pay may be lower than the annual interest you pay on your mortgage. It is not good long term planning to keep a mortgage on your home for a tax break.

What you need to be careful with is using your savings to pay off your mortgage in this uncertain economy. Look carefully at your job security, health and what would happen if you lost your job. You never know when you will need to utilize your emergency funds. If you pay off your mortgage, you might have to sell the house or borrow against it if your emergency funds are depleted. Ensure that you are saving for retirement and maintaining an emergency fund before considering paying off your mortgage.

Tax Tips By Consumer Reports On Lowering Your Expenses

Tax Tips By Consumer Reports

Filing of federal income tax returns by businesses and employers can be somewhat difficult. Many people end up paying higher taxes than necessary because of a lack of proper knowledge on how to reduce their taxes during the preparation of the returns. Consumer reports have created a list of tips on how to reduce your personal tax burden. It is critical for businesses to report their tax numbers on a quarterly basis as many have found out after starting a small shop. This helps you to avoid fines when reporting your complete tax returns at year-end.

Taking advantage of tax credits offered by the IRS standards. It is good to know that businesses can be take a specified tax credit limits. Therefore, a business can enjoy this provision, which relieves the business off the burden. This enables you to plan for your future tax returns.

If you are unable to use your credits, you are allowed to carry forward or back. This means that you still have a room for easing your tax problems.

Consumer Reports
Consumer Reports (Photo credit: Wikipedia)

Taking health plans for your employees

Employers and businesses are allowed to access tax deductions as provided by the tax laws. Health plans provided by the employer is subject to deductions, and so it is essential to offer them the best health plans that they qualify for. If you are not an employer, it is good to know that your own contributions, contributions of your spouse and dependants. The understanding behind this tip is that you are allowed to have 100% deductions.

Take charge of your depreciation

According to consumer reports, 2013 taxes laws laws allow businesses to take advantage of the tax deductions on the property and equipment. The provisions allow businesses to enjoy deductions instead of expenses. This means that instead of retaining old assets that result in depreciation as an expense, businesses can purchase new assets to enjoy these benefits.

Super Saturday In Ohio: Day Of Help For Filing Taxes

Day Of Help For Filing Taxes

Super Saturday is a day of help in Ohio for residents in need of help filing taxes. Formerly known as the Franklin County EITC Coalition, the Tax Time Coalition of Central Ohio is ready with professionals in the tax business to help others in need of their services.

The 2013 tax-prep program is funded every year by the Franklin County commissioners. This year, $75,000 was released to support the event. Tax Time serves an estimated 400 families on Super Saturday, with many qualifying for the Earned Income Tax Credit.

English: The headquarters of Intuit Consumer T...
English: The headquarters of Intuit Consumer Tax Group at the northern end of San Diego. This is where Intuit develops its flagship tax return preparation product, TurboTax. (Photo credit: Wikipedia)

Franklin County is home to many low income households who appreciate the help when it comes to finding refunds. With 25 percent earning less than $25,000 a year, any amount of tax credit refund is welcome.  Super Saturday will be held this year at Columbus Downtown High School at 364 S. 4th Street from 9 a.m. to 5 p.m. Reserving a time in advance is suggested by dialing 211, but residents are free to drop by at their convenience.

Super Saturday will also be host to the Kindergarten-readiness assessments, mobile health van, and a financial resource fair. Residents will get information on banking services, repairing damaged credit, financing college, and other benefit screenings.

If you are a professional tax preparer and would like to volunteer your time on Super Saturday, please register at www.taxtimecentralohio.org

Tax Carnival Ecstasy – October 4, 2012

Mitt Romney at one of his presidential campaig...
Mitt Romney at one of his presidential campaign rallies. (Photo credit: Wikipedia)

Welcome to the October 4, 2012 edition of Tax Carnival Ecstasy. In this edition we have some very good articles including the first one by David de Souza on How Do Your Tax Credits Compare With The Rest Of The UK? Anisha at Nerdwallet.com takes a look at Tax-Advantaged Savings Vehicles. How will Mitt Romney handle The Debt Ceiling Deal? Bill Smith has a post for your consideration. And finally Edward Webber examines Which Countries Have The Highest Tax Rates. Hope you enjoy the articles, bookmark, share, tweet, like on Facebook and come back soon.

credits

Samantha Savory presents Let the (Budgeted) Fall Shopping Season Begin! | Miss Money Bee posted at Miss Money Bee, saying, “Temperatures are getting lower and soon the leaves will start changing, which can only mean one thing: Fall is nearly here! For most people, the fall season brings pumpkins, cozy sweaters and cool nights to mind. For others, it signals the time to put away their summer wardrobe and prepare for sweater dresses and boots. After you get done with the task of packing away your favorite tank tops and shorts, you might find that last year’s threads are worn or damaged.”

David de Souza
presents How Do Your Tax Credits Compare With The Rest Of The UK? posted at Tax Credits, saying, “This blog post shows which areas of the UK recieve the most tax credits, with London top of the table at over 5,200 pounds.”

filing

Bill Smith presents TurboTax 2012 Program posted at 2012 Tax – Free Tax Filing Options, saying, “Turbo tax is a company that specializes in filing taxes. You can file your 2012 tax with them relatively easy.”

Bill Smith
presents Impressive Free TurboTax posted at 2012 Taxes – Free Tax Filing Options, saying, “Free TurboTax is a very easy way of getting taxes prepared and filed ready for submission. It is an ideal way for businesses and individuals to file their taxes.”

retirement

[email protected] presents How to Save on Tax? Tax-Advantaged Savings Vehicles posted at NerdWallet, saying, “Get expert opinions on popular tax-advantaged retirement savings vehicles and factors to consider.”

taxes

Bill Smith presents Mitt Romney and The Debt Ceiling Deal posted at 2011 Taxes, saying, “Mitt Romney called the deal between the White House and the congressional Republicans “a mistake”. He went on to say that the deal would cut our defense budget badly.”

Edward Webber
presents Which Countries Have The Highest Tax Rates posted at TaxFix, saying, “If you think you are paying a high amount of tax, you should compare the tax rates of some of the other countries in the world.”

That concludes this edition. Submit your blog article to the next edition of tax carnival ecstasy using our carnival submission form. Past posts and future hosts can be found on our blog carnival index page.

Technorati tags:

tax carnival ecstasy, blog carnival.

 

Don’t Waste Your Tax Refund: Make it Work for You

If you are one of the several million Americans who is anticipating a sizable tax return refund this year, then you know how very exciting the prospect can be. There are just so many things you can do with that lump sum of cash, right? However, the truth is that most people have great intentions for how they will make use of their tax refunds, only to put it into the checking account and watch it dwindle away on trivialities. The only way you can avoid this situation is to put some careful consideration into how to best reap the rewards of paying your taxes all year. Don’t waste your tax refund. Instead, make it work for you. Here are some ideas for how:

Retirement savings plan. Tax refund time is the perfect time to set up your 401K. Make an appointment with a financial adviser to size up your options (or take advantage of your employer’s 401K program, especially if your employer offers company matching). Contribute as much as the program of choice will allow for, or the total amount of your refund – whichever is greater.

Investments. Have you always been interested in learning how to grow your money through investment instruments? Well, now is the time to do it. Again, this is where a good financial adviser comes in. Weigh out all of your options carefully, and if you have enough money to break into more than one investment, experiment diversifying with some high-risk and some low-risk investment vehicles.

Getting out of debt. Is your mounting credit card debt beginning to eat up the money you could be putting toward saving and investing for your future? Then before you even consider using your tax refund for anything else, pay off that debt! Think of it this way: all of those fees and interest payments will compound the amount of money you owe over the long run – and that equates to more debt than any interest you’d make on an investment.

Your goals. Is there something you’ve been wanting to do for a long time that you just haven’t had the funding for? Perhaps it’s a small business venture, or even a European excursion. Consider your goals and dreams in life, and then consider how much they might cost you. It could be that tax refund time is the perfect time to have the experience of a lifetime.

As you can see, your tax refund can be a great opportunity to get ahead in a number of different ways. Consider these smart choices when you get that long awaited check in the mail, and make this year’s tax refund really count.

About the Author: Jamey Vazguez applies her tax refund to her investment goals and retirement plans every year. She usually keeps about $100 and applies it to some of the best Los Angeles deals she can find, to treat her family, but the rests is invested in her future.