10 Resources to Reduce Your Income Tax ExpensesSubmitted by Reby Advisors | Certified Financial Planners | Danbury, CT on March 4th, 2016
Preparing your tax return can be as exciting as visiting the dentist to get a root canal. Even the most proactive among us will procrastinate.
But around this time of year, we start seeing articles pop up here and there about last minute tax tips, and that feeling of inevitability starts to set in – it’s time to file. Even if you’re hiring a professional, you still have to gather the paperwork he or she needs, and it’s always good to have some knowledge of taxes for your own benefit, as the tax code is too large for your preparer to ask you every possible question. You may be able to bring something to his or her attention that saves you money.
With this in mind, I’ve compiled a list of 10 resources that may help you reduce your tax bill, either for the 2015 taxes that are due April 18th or in future years.
- 15 Top Tax-Saving Ideas for Your 2015 Tax Return
2015 May be over, but this article on our Featured Financial News page presents 15 strategies you may be able to implement between now and April 18th. Here's a link
- New IRS Rules to Factor into Your 2015 Tax Returns
This link will take you to the IRS website where they summarize important changes that took effect in 2015. Some of the changes are a bit obscure and only apply to a small percentage of the population, but others are worth reviewing. An example is the “Achieving a Better Life Experience (ABLE)” account for individuals with disabilities and their families
- Tax Tips by Guest Blogger, Stephen Kosar, CPA
This is a link to a previous article published on the Reby Advisors blog, calling out the “Most Overlooked Items on Tax Returns,” “Last Minute Tax Tips,” and the “Most Common Misconceptions That People Have” about tax returns. I suggest reading this article again before filing.
- Most Overlooked Tax Deductions
This slideshow from Kiplinger may help you avoid sending more money than you have to on a one-way trip to Washington D.C.
- How Some Americans Hit the Maximum Tax-Refund Sweet Spot
This WSJ blog shows how Americans are increasing their net income by lowering their tax bill.
- No Receipts for IRS? Key Tax Case Says They're Optional
I recommend always keeping receipts for the IRS, but thanks to this famous court case, you may not need them.
- Your taxes: When can you deduct legal expenses?
In most cases, legal expenses incurred are considered a personal expense, but this Market Watch article outlines a few exceptions where it may be deducted.
- Optimizing a Retirement Portfolio for Taxation
This article does not necessarily apply to your 2015 taxes, but it’s a short, powerful case study of how locating investments in the right types of accounts can make a big difference in your retirement savings and lifestyle.
- Six Strategies to Reduce Your Tax Bill (PDF Download)
Again, this one may not help you reduce your 2015 income tax expenses, but it provides good advice on why it’s critical to keep taxes in mind year round in nearly all financial matters. It’s not what you earn, it’s what you keep!
- Reduce Your Tax Bill and Keep More of What You Earn
This February 19th video blog with Bob Reby dives into strategies that may reduce your income tax expenses.