Ten Easy Ways To Save On Taxes (2 of 2)

* DONATE UNNEEDED CLOTHING and other
personal items to recognized charities. If you have usable
clothing, furniture or other personal property that you
don't need, donate it to a recognized charity. You are
entitled to a tax deduction for the fair market value of
the donated items.

* FILE RETURNS SEPARATELY (rather than jointly)
if it will result in lower taxes. Sometimes married
taxpayers end up paying less in taxes when they file
separate returns than when they file a joint return.

* IF YOU'RE OWED A REFUND, send in your tax
return early. File early. The government will not pay
you interest.

* IF YOU OWE THE IRS MONEY, don't send in
your tax return early. As long as you have paid enough
during the tax year to avoid a penalty, there's no
reason to file your tax return early if you owe money
to the IRS. This is one situation in which
procrastination allows you to keep your money
working for you until the last minute.

* IF YOU OVERPAID TAXES the previous year,
amend your return and get a refund. But don't wait
- there is a time limit.

Source: Jonathan Pond, "Family Money Book" (adapted)

Tips courtesy of FamilyCorner.com Magazine -- http://familycorner.com

May be printed for personal and educational purposes only.
Copyright © 2005, FamilyCorner.com Magazine, Inc. All Rights Reserved




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