Was your last personal or business tax return less than you expected? If so, you may not have taken advantage of all the deductions and credits available to you. While there are a few things you can do to maximize the refund you get this year, it helps to work with a skilled accountant from a reputable firm like Burch & Associates. They specialize in tax return preparation for Lincoln, NE, individuals and business owners, and they can ensure you get the tax refund you deserve.
4 Tips to Getting a Larger Tax Return
1. Reconsider Your Filing Status
It generally makes sense to file with your partner if you’re married, but in some cases, it’s more beneficial to file separately. This is especially true if one spouse has more expenses for travel, unemployment, or medical expenses. Filing as head of household is also a great idea for single parents or single taxpayers caring for a parent. An experienced accountant from Burch & Associates can analyze your situation to determine which filing status is most beneficial.
2. Take Advantage of Tax Deductions
Tax deductions make a lot of people nervous, but as long as you keep good records and work with an enrolled agent (EA), there’s nothing to be afraid of. Tracking your miles for volunteer work and job-hunting, and keeping parking and public transport receipts provide the proof you need. Plus, there are plenty of apps available to make tracking mileage and other expenses easier. Don’t forget, if you or your spouse moves for a job more than 50 miles away or made charitable donations, those are tax-deductible, too.
3. Maximize Your IRA Contributions
If you have a traditional IRA, your contributions reduce your taxable income, so take advantage of the maximum contribution allowed, if possible. Contributions to a Roth IRA also reduce your taxable income and can lead to a larger personal or business tax return. If you don’t already have an IRA, open one before the tax deadline, and you can use your tax refund to fund the account.
4. Don’t Overlook Tax Credits
Tax credits can get confusing, but they’re worth your time, as they can significantly increase your refund. Your accountant can determine whether you qualify for the earned income tax credit (EITC), American Opportunity Tax Credit, or the Lifetime Learning Credit. The laws surrounding these tax credits change, so it’s critical to work with an EA to maximize your refund.
If tax time stresses you out, work with the experienced accountants at Burch & Associates. They’ll work to ensure you get the most from your personal or business tax return. They offer a range of bookkeeping and tax services, so check their website to see all they offer. When you’re ready to meet with an accountant, give them a call at (402) 483-4791 to schedule an appointment.