10 best tax-filing tips

10 best tax-filing tips

10 best tax-filing tips

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by 10Best.com

WVEC.com

Posted on April 4, 2014 at 8:39 PM

1. Get credit for the EITC

If you made less than $51,567 in 2013, you could be eligible for the earned income tax credit, which reduces what you owe and maybe allows a refund.

2. Save on taxes with a traditional IRA

If you or your spouse don't have access to a pension or workplace retirement plan, you may get a deduction for a traditional IRA contribution.

3. Don't worry about moving to a higher bracket

The tax system is graduated: the 39.6% tax bracket, for example, applies only to earned income above $400,001 for single taxpayers, $450,001 for those filing jointly.

4. Find job-hunting deductions

If you're looking for a job, you can deduct the cost of searching – including driving to and from interviews (56.5 cents a mile) and employment agency fees.

5. Take care of child care

If your child goes to day care, you can get a tax credit.

6. Save with energy savers

If you put in new windows, bought a furnace or made other qualifying energy-saving home improvements, you could get a tax credit of up to $500.

7. Learn about educator expenses

Qualified educators can deduct up to $250 for materials you buy for school.

8. Fight taxes with taxes

You can deduct state sales tax — a good break for those in states without state income tax.

9. Get a charge from electric vehicles

Qualifying plug-in electric cars can get up to a $7,500 tax credit.

10. Stay out of jail free

Be honest on your return. Penalties can put you in a world of hurt.

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