Tax season is roughly about six
months away. That’s plenty of time to
get your financial documents in order so you can avoid any hassle during the
tax season. Here are a few tips to help
you stay on top of your taxes all summer long:
Adjust your withholding.
Electing to withhold more taxes from your pay than required will rob you
of the chance to put that money away in an interest-bearing account throughout
the year. Review your withholding now to make the taxes you’ll owe for this
year. If you owed tax when you filed,
you may need to increase the federal income tax withheld from your wages.
Keep your 2012 record in a safe place. Put all of your 2012 tax documents somewhere
safe. Back them up electronically and across multiple hard drives to ensure
that you have a copy handy if you ever need it.
Your 2012 return may help you next year during tax season or you may
need to find it when you apply for your next home.
Organize your records.
Simply put: Place all tax
documents for the year in one designated location. This includes mileage logs, unreimbursed
expenses, charity receipts, business expense receipts, and more.
Consider itemizing deductions.
Do you and your family usually claim a standard deduction? Check to see if it is more beneficial to itemize
deductions instead. If your itemized deductions typically fall just below your
standard deduction, you can ‘bundle’ your deductions. Planning an approach now that works best for
you can pay off at tax time next year.
Talk to a Liberty Tax Service Professional. New to the Liberty Tax Service network of
professionals? Did you move? Have you been seeing the same tax preparer
for years and just have a simple question? Find your local
office and call to make an appointment.
Keep up with changes.
Keep an eye on the eSmart Tax blog or the Liberty Tax Service Tax Lounge for
changes in tax law, tax code, forms updates, and more.