The 5 Best Ways To Make Your 2017 Tax Season Wonderful

2016 is about to complete, and you believe or not 2017 tax season is nearly here. Are you wondering how to settle up your 2016 tax return? “Don’t worry, be happy”, because Tax Care is going to share some tips to prepare for the 2017 tax season.

Before filling out your tax return, it is important to pay attention to some important things. First, think about getting organized. Whether it’s a file folder or a large envelope, it’s imperative to have all tax information at one place. A lot of information is required and every detail counts in making tax preparation a smooth process. Have a look at some other tips for tax filing season:

1. Get the best out of your retirement plan: If you want to live a happy and comfortable life after retirement, make every effort to maximize retirement plan contribution. If your employer offers a 401 (k) or other types of deferred pension plan, try to get the maximum amount allowable. If you don’t give much attention to it, you are leaving money on the table that could benefit you in your retirement.

If your employer does not provide a retirement plan, then it’s better to contribute to a traditional individual retirement account or Roth IRA. The both plans offer tax-deferred gains.

2. Be smart while filling your tax: If you want to receive your refunds quickly and easily, the best way to file your return electronically and use direct deposit. If you want to know how to prepare your taxes online, there are a number of tax professionals who can help you. If you owe money, use IRS direct pay from your saving or checking accounts. Don’t forget to keep a copy of your filed tax returns. It saves your time and effort when filling your tax return.

3. Protect your identity: There are several kinds of tax fraud that can provide harm to your tax preparation. If you received IP PIN (identity protection PIN), in the past, then you must provide this PIN on all your future tax returns. An IP PIN is a six digit number assigned to every eligible taxpayer that helps you to protect from fraudulent returns from being filed under your Social Security Number.  It’s the IP PIN which helps you to file your tax return smoothly. However, IP PIN changes every year, so you will have to get a new in 2017. You will get an email for this, if you don’t receive, get it from IRS website.

                                                                                                 

4.  Adjust your withholding: If you are expecting a large refund, then check your year-to-date withholding and changing the taxes withheld. It especially becomes important when you claim the earned income tax credit or the additional child tax credit. This is important because now IRS required by law to hold all refunds on those return until Feb 15. The new law came into existence to allow the agency additional time to prevent and detect tax fraud.

5. Be kind without tax consequence: From past many years, the IRS changes the yearly exclusion for gifts that you can give without having to file a gift tax return. If you give a gift (cash, property) of more than $14K to anyone, you must report this on form 709. If you are married, you can give a combined $28K and remain under the radar.

If you are also going to file the tax return in this new season, Tax Care can help you to do a perfect tax preparation. Just come up with your problem and we will provide all the solution to your tax needs. Our services include tax preparation, bookkeeping, sales tax, online payroll services in Concord.