2019 tax year

The official tax deadline for the 2019 tax year has been announced and falls on Wednesday, the 15th of July 2020. Worried about being able to file your taxes on time and incurring hefty penalties as a result of not filing on time? Here are some tips to help you get organized.

Keep your forms in one place

The leading reason why individuals file their taxes after the deadline is the fact that they have struggled to get all of the necessary information, documents, and forms in order. If all of those important forms and documents are strewn in different directions around the home or office, it can prove nearly impossible to gather them all. As such, strive to keep them all in one place right from the very start. That goes for your paperwork for deductible expenses, your W-2s, 1099s etc.

Set aside some time

Set aside a quiet time to prepare your tax documentation when you know that you will not be disturbed or rushed. It is important that you focus on what you are doing and that you double check all information.

Do your research

Most people are well aware of the basic tax deductions – but how sure are you that you do
not qualify for some of the lesser-known ones, such as the Self-Employed Health Insurance tax deduction (SEHI) or the student loan interest deduction? Do your research on all of the available tax deductions, especially above-the-line deductions, which are the ones that are often forgotten about or overlooked.

Enlist the help of a CPA

A CPA, or Certified Public Accountant, can take the stress and burden of doing taxes off of your shoulders completely. They will have all of the necessary knowledge and expertise in order to ensure that you receive the maximum benefit from your tax return and that you submit all of the necessary documents well within the time limit.

Contact the CPA specialists at Georgen Scarborough Associates, PC today for more details on how we can help you file your taxes.

The warm, fuzzy feeling that comes with doing a good deed is often reward enough for giving to those in need. However, what makes it all the more rewarding is the fact that charitable donations often have positive implications on your tax return. The deadline for filing your federal taxes is April 15th, 2020 (unless you apply for an extension, which will then mean the deadline is stretched to October 15th, 2020). As such, you will likely be keen to find out exactly what your charitable donations could mean for your return.

Here is what you need to know.

Only Certain Charitable Donations Can Reflect Positively on Your Taxes

In order to take advantage of the relevant deductions, you should take extra care in choosing a charity to which you would like to donate. The charity in question should be categorized as a ‘not for profit 501(c)(3)’ charitable organization. Also, remember to check whether or not your preferred charity is listed as an IRS qualified exempt organization. You can do so via the IRS website.

How much can you deduct?

The best case scenario for charitable donations is that you may be able to deduct up to 60% of your adjusted gross income. The amount that you are allowed to deduct from your return will be based on the type of contribution that you have made. Having said that, the absolute minimum amount that you will be able to deduct will usually be no less than 20%.

Remember, if you exceed the limit, via carryover, you will usually still be able to deduct the excess from tax returns over the next five years, possibly more.

Looking for assistance with regard to filing your taxes for the 2019 tax year? Contact Georgen Scarborough Associates, PC today for information on how we can help you.