Tax Tips

The time to prepare for tax season is now!

Gather your tax data as soon as possible. You should round up all receipts and canceled checks, such as those from charities; check your latest brokerage statements for year-to-date gains or losses; make a checklist of accounts to keep track of the 1099s, if any, when they arrive; and get medical receipts and insurance reimbursement forms in order.

If you start organizing your files now, it will be easier to avoid a last-minute rush to our office. It is much easier to have the originals or to request replacements when you have time, instead of discovering at the last minute that you are missing some item that prevents us from finishing your tax return.

Procrastinating all year cleaning out your closet or the garage? The time for giving is now!

Add your favorite charities to your holiday gift list and donate used clothes, books and household items to the Salvation Army, Goodwill or a similar organization. Just be sure you make a list of the items you are donating and get a receipt from each organization you give to.

Don't have the cash available to make the contribution? You can donate stock or mutual fund shares that have appreciated in value to a qualified charity and claim a deduction for the fair market value of the investment on the date of the contribution. Keep in mind that you don't have to report the capital gain as income on your tax return, and be sure not to contribute an investment that is worth less than when you paid for it.