Last Minute Tax Tips!

It’s no April Fool’s joke that in about 15 days, your taxes are due!  Here are some last minute tax tips to remember at filing time, from our tax experts.  Even though they're CPAs and legal pros--they don't know your individual situation--check with your filing firm, bookeeper or IRS.gov.

Parent?

Ebong Eka, CPA to the stars, tells us that the amount of the earned income credit is refundable and has increased for 2010.  The maximum amount of the credit has increased. The most you can get for 2010 is: $3,050 if you have one qualifying child $5,036 if you have two qualifying children $5,666 if you have three or more qualifying children $457 if you do not have a qualifying child

Tim Gagnon, an attorney who teaches at Boston’s Northeastern College of Business Administration, reminds single Moms that if you were divorced or separated in 2008 or later, you must now have Form 8332 signed for the noncustodial parent to take the dependency exemption.

Property owner?

Eka reminds us that the Non Business Energy Property Credit expired in 2007 but has since been reinstated. You can receive a 30% tax credit for the cost of certain energy efficient property that was placed in service in 2010. Example of such property include high-efficiency heat pumps, air conditioners, and water heaters.

Small business owner?

Gagnon says that Business Assets purchased between 9/8/2010 and 12/31/2011 that qualify for bonus depreciation you may elect to either write off 100% or accelerate Alternative Minimum Tax credits that you may have been carrying forward from the past years.

Other?

Here’s a big reminder that this year the IRA has more free help than ever. From online tax guidance, digital withholding calculators, live phone service, free tax preparation online and across the country—the IRS really wants your money and gets it that they need to help you with the forms and rules.

Ask for the help you need and get through tax time with a financial peace of mind.