No one wants to pay more than their fair share in taxes, so of course, you'll want to claim every deduction you're entitled to. You might be surprised to learn that, every year, taxpayers across the country forget some vital tax exemptions that could save hundreds of dollars on your tax bill.
ZP Tax, known for providing high-quality tax education and preparation services to clients throughout Silver Springs, MD, recommends checking to see if you qualify for these often overlooked deductions:
- State Sales Tax: If your state collects income taxes, you'll almost always be better off deducting this amount, rather than what you've paid in sales tax. However, if there's no income tax in your state, or if you've made a major purchase like a vehicle or a boat, you may be able to deduct those sales taxes, as well. Fortunately, the IRS maintains a calculator so you don't have to estimate the sales tax from every purchase you made throughout the year.
- Moving Expenses for a First Job: While you can't deduct the expenses of finding your first post-college job, you can write off any moving expenses you incur as a result of finding one. Even if you drove your own vehicle, you can deduct 23 cents per mile off the cost of moving yourself and your belongings, as long as you to go at least 50 miles.
- Earned Income Credit: Up to 25% of taxpayers who qualify for the Earned Income Tax Credit fail to claim this valuable refundable credit, usually because they aren't even aware that they qualify. Refundable credits, like the EIC, may qualify you for a refund even if you paid no taxes this year, so speak with a tax education and preparation professional to find out if you're eligible.
The professionals at ZP Tax pride themselves on providing accurate, comprehensive services to everyone from private individuals to business owners and investors. Visit their website to see how they can help take the stress out of filing your taxes, follow them on Twitter, or call (301) 587-4829 to discuss your tax education and filing needs today.