Most people only think of April 15th as the deadline for filing their federal and state taxes through tax preparation services like Books In Balance.
The fact is, there are many other dates to remember when you want to minimize what you pay to both Washington, DC and Sacramento, California. In fact, this should be a yearlong concern.
Though most of our clients hire us in the early part of the year and think that they’re done thinking about taxes in the middle of next month, this article will provide some tips on why you should not ignore May through December for being aware of tax savings and deductions through tax preparation services in Marin County.
Estimated Taxes Deadline Dates
Because April 15th falls on a Saturday in 2017, your actual tax deadline is April 18th. That three-day extension may not seem like much, but for a handful of my clients who admit that they tend to procrastinate way too much every year, every minute certainly helps both them and me. Otherwise, we file for an extension.
Other estimated tax deadlines for 2017 are June 15th, September 15th and December 15th. If you and your accountant determine that paying estimated taxes can lower what you owe every April, it’s always wise to heed that advice.
Itemize Your Deductions
According to Benjamin Franklin, “In this world, nothing can be said to be certain, except death and taxes.” That’s why you should think about how to minimize your taxes throughout the year. Doing so can help you pay less and save more of every hard-earned dollar.
- If you traditionally don’t file a Schedule C to itemize your deductions, and you had a lot of expenses in one or several areas, talk to your accountant about what your possible deductions might be. After all, more than 45 million Americans are itemizing this year to claim $1.2 trillion worth of deductions.
- If you had an operation such as a partial knee or hip replacement in 2016, and your medical bills far exceeded your deductible, consider itemizing your medical expenses, including doctor, dentist and optometrist visits, as well as visits to specialist physicians, prescriptions, medical insurance premiums, and long-term care.
- If you made a major equipment purchase, it may be deductible, especially if you’re self-employed. This may include a car if you travel for business, a desktop or laptop computer, a smartphone, a printer/fax machine/scanner, computer software, and the like.
- Another possible scenario for an itemized deduction is a large out-of-pocket charitable contribution that may be currently valued at $1,000 or more. This could be a car, a boat, or other large items, but don’t forget to add up all of the $25, $50 and $100 checks and cash donations you make, too.
- If you’re moving to another city for work that’s more than 50 miles away, you can deduct the moving expenses for your first job, even if you don’t itemize.
- Other deductions often overlooked are for tax credits. The child and dependent care tax credit and the Earned Income Tax Credits both can reduce your tax bill, dollar for dollar.
- If you celebrated your 65th birthday in 2016, you also earned a larger standard deduction.
- Finally, you can deduct points paid to refinance your mortgage.
Talk to you accountant about details for any of these possible deductions. Your amount of deductions may vary.
We’re Located in Downtown San Rafael
We hope that this information about estimated tax deadlines and possible deductions has been helpful.
To ask us a question or to make an appointment about tax preparation services in Marin County, please give us a call at (415) 455-9455.
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