Creative Tips to Reduce your Taxes

Income Tax

By John Wurts By letting your creative juices flow, you can go the road less traveled and save money in the process. Here are tips for both high and low-income taxpayers. Where you put a deduction on the tax return may determine if it will be deducted by only the state or by both the state and federal. For example, if you are working in a partnership, instead of putting driving, cell phone, and home office in Schedule A miscellaneous deductions, where it will only count for the state, put…

Taxes…Science or Art?

Tax

By John Wurts Most people assume that all tax returns are done the same way. Nothing could be further from the truth. When Money magazine tried an experiment, they gave exactly the same tax return information to forty different tax preparers, CPAs, attorneys, and enrolled agents. They were astonished to find they got back forty different tax returns. Some showed thousands of dollars were owed in taxes and others showed refunds of thousands of dollars. The shock was so great they tried the same experiment the following year with a…