Each year, the IRS announces the most common blunders that taxpayers make on their returns. One of the most prevalent – every single year – is forgetting to enter Social Security numbers on the top of returns, so double-check those forms!
Another yearly occurrence done by millions of taxpayers is overpaying their taxes by overlooking money-saving deductions. Don’t give up your hard earned money, make sure you know about the potential deductions available to you:
1. State sales taxes.
2. Reinvested dividends.
3. Out-of-pocket charitable contributions.
4. Student-loan interest paid by Mom and Dad.
5. Moving expenses to take your first job.
6. Military reservists’ travel expenses.
7. Child-care credit.
8. Estate tax on income in respect of a decedent.
9. State tax paid last spring.
10. Refinancing points.
11. Jury pay turned over to your employer.
12. Property-tax deduction for nonitemizers.
13. Casualty-loss deduction for nonitemizers.
14. Hope credit for college juniors and seniors.
15. Making Work Pay credit.
16. Sales-tax deduction for new vehicles.
17. Credit for energy-saving home improvements.
18. Break on the sale of demutualized stock.
19. Home-buyer credit.
Want more details, check out this article from Kiplinger. Have questions? Contact us at CGP and we’ll be happy to help you ensure your finances are protected.