Taxes consist of more than end of year forms provided from your employer to show how much an individual earned during the course of a year. There are numerous layers to any tax return and almost everyone’s is going to differ but a few key considerations can assist you in lowering your taxable income. Deductions provide the method and often occur throughout the year as opposed to happening during one designated time period.
For this reason it is important to keep a list of all potential deductions associated to your tax return during the course of the year. By maintaining a record of different payments and contributions, in addition to the required documentation, both filing out your return and the potential for decreasing your taxable income increase in ease and efficiency.
It also helps to remind tax payers about what took place during the past year which may not have been remembered otherwise. While the potential to make an amendment exists, it is better to ensure your taxes are prepared correctly and with all of the necessary documentation prior to filing the first time.
Following is a list and brief explanation of a few potential deductions which should be tracked.
Donations, both monetary and otherwise, need to be recorded and depending on the amount or value - proper documentation will also be required. For any such giving involving amounts higher that $250, either a receipt or specific details of the donation must be included as evidence of the gift.
Many places which receive charitable donations are familiar with the tax implications and can provide you with necessary documentation for warranting a gift. The important thing is to remember both the amount or value and keep track of it as the year transpires. Multiple gifts to the same agency which total over the $250 amount can be difficult to track without the necessary paperwork.
There are a number of deductible medical
and work-related expenses which can be taken if not reimbursed by an individual’s insurance, employer, or another method. These out-of-pocket payments can assist in reducing the taxable income.
Both real estate and owner tax on vehicle registration, in addition to your prior year’s preparation fees have the potential to be deductions. These payments are made directly associated with tax implications and can be especially beneficial to small business owners - especially the tax preparation fee deduction.
Come see the experts at Bloch, Rothman, and Associates
who will provide you with a complete list of potential deductions, review your specific tax blueprint, and answer any questions regarding individual or business income taxes. Are associates also can assist with a variety of potentially different bookkeeping options. A full detailed review of your tax situation can be completed in addition to resolution issues and estate compilations. All services, including free of charge E-filing options
will be completed in a timely manner, depending on your restrictions and possible tax deadlines. Whether you need a simple explanation on a random tax form or are in need of a variety of other services our tax experts are ready and willing to assist. Call 303-321-7160 or contact us
for a free, no obligation consultation.