Posted on | August 12, 2011 | 2 Comments
Your tax return 2011 will need to be filed before April 15, 2012, for those not keeping track. It’s important to be aware of the deductions you’re planning to take right now. Keep track of your expenses and have them readily available for your tax professional to refer to when needed.
Preparing for your 2011 tax filing can be relatively pain free if you set up a system which organizes tax deductions, exemptions and tax credits. Start by having a clear understanding of your earnings. Next keep a record of all your deductions. Keep them organized by category.
Medical costs should be labeled and separated from other expenses. Most people rarely accumulate 7.5% of their income in medical expenses, but many people do, so keep track of premiums for health insurance, taxi rides to doctor’s offices, co-pays costs, deductibles paid and medicines purchased.
Also keep track of taxes paid to the state and local jurisdictions, real estate taxes and interest paid for real estate. Keep a good record of church tithing and other gift giving. Watch your record keeping, don’t repeat things and don’t leave things out. Allow your tax professional to throw out what cannot be used.
Preparing your 2011 tax does not have to be an ordeal, if you plan and prepare for their preparation. Organize your records and keep the information up to date and properly labeled so both you and your tax preparer can identify them. Be honest with your taxes because you don’t want to be audited and you want to keep a clean record with the IRS. Always plan ahead and keep track of all your rightful deductions.
- TurboTax iPad App Allows You Tap Your Way to a Tax Refund (2010taxes.org)
- Do I Really Need to Hire a Tax Consultant? (2011taxes.org)