Review Your Taxes This Summer to Prevent a Surprise Next Spring

Many people receive a larger amount of refund than they expected each year.  Some, however, find they owe a lot more income tax than they thought they would. If this happened to you, you may want to review your situation to prevent another year tax surprise. Some life event changes such as marriage have a child; have a change in income can have a major effect on your taxes.   Below are some key tips to help you come up with a plan of action:

Start Planning Now for Next Year’s Taxes

You may be tempted to forget all about your taxes for a while after you’ve filed your tax return early this year.   However, do not give in to that temptation. If you start your tax planning now, you may be able to avoid a tax surprise when you file your return next year. It is a good time to set up a system early so you can keep your tax records / documents in a location that is safe and easy to find. Below are some tips to help you get started on next year’s taxes:

Back-to-School Education Tax Credits

Education Credit

If you, your spouse or your children are heading off to college in this fall, some of your expenses that you pay for college may save you some money at tax time next year. You may be able to claim an education tax credit on your federal tax return. Below are some key tips that you should know about the tax credits:

Tax Tips for Students with Summer Jobs

Most students will often try to get a job during summer time to earn some extra money for their personal spending.  If it’s your first job in this summer, it will give you a chance to get some work experience and also to pay some taxes to your government. The taxes that you pay will support your home town, your state and also your country. Here are some tips that you should know about summer jobs and taxes:

Six Tips to Help You Pay Your Tax Bill this Summer

If you receive a tax bill from the IRS, don’t ignore it.

The reason is because the longer you wait the more interest and penalties you will have to pay. Below are six tips to help you pay your tax debt and avoid extra charges:

1. Reply promptly.   The IRS usually sends out millions of notices to taxpayers after tax season.  Please read it carefully and follow the instructions. If you owe money, the notice will tell you how much and also give you a due date to send in your payment. You should respond to the notice promptly and pay the fees to avoid further interest and penalties charges..

What you need to know about Late Filing and Late Paying Penalties

April 15 was the last day to file tax return for most people. If you are due a refund there is no penalty even if you file a late tax return. But if you have a balance to pay, and you failed to file and pay on time, you will usually owe interest and penalties on the tax you pay late. You should file your tax return and pay your balance as soon as possible to stop them.   Below are eight facts that you should know about these penalties.

If You Missed the Tax Deadline These Tips Can Help

Now April 15 has come and gone. If you didn’t file your tax return or an extension yet, you need to take action now. Below are some tips for taxpayers who missed the tax filing deadline: