“The hardest thing in the world to understand is the income tax.” – Albert Einstein According to the IRS more than 80% of Americans use a tax preparer or tax software to prepare their income tax returns. As tax laws become more complicated, taxpayers need help from professionals to help prepare their returns. A taxpayer… Read More
On January 1, 2014 about 50 tax-reducing provisions expired. Tax extender bills to reinstate these provisions for 2014 have been sitting in Congress all year. On December 16, 2014, Congress finally passed the tax extenders bill. Here we are in December, and Congress has now acted to extend the expired provisions for one more year,… Read More
After identifying and adding up all available medical expenses and subtracting 7.5% of Adjusted Gross Income (AGI), the next step is to add other itemized deductions from the categories we discussed last week. Here are the remaining categories: Gifts to charity. A charitable contribution is a donation or gift to, or for the use of,… Read More
For the past two weeks we’ve focused on medical expenses, especially for senior taxpayers, that are deductible and may well make a better tax result for those seniors to itemize their deductions instead of taking the standard deduction. Many senior taxpayers claim the standard deduction on their annual income tax return instead of itemizing deductions.… Read More