Ben Franklin said, “In this world nothing is certain but death and taxes. ”

coins.jpgTaxes are due again in April, and there are actually a surprising number of events that can affect how and what kinds of taxes you will pay.

If you got married withing the past year, you will have to decide either to file jointly or separately. I’m no financial advisor, so please talk to your accountant or get one.

Speaking of accountants, many people decide to use software such as Turbo Tax thinking that it’s cheaper than hiring an accountant. This is true if your taxes are not complicated. However, if you run a business (i.e. self-employed) you may find that getting a good accountant is well worth the cost.

If you had a child in the past year, you should be able to claim an additional dependent. If you adopted a child, you may qualify for the adoption tax credit which is up to $11,390 for the year 2007.

If you have fewer dependents due to death, separation, a vacancy in the household for any number of reasons, these will affect your taxes as well.

Now is the time to start collecting all your statements to file your tax returns. 1099’s, W-2’s, receipts for charitable donations, mortgage interest payments, etc. I usually get a binder and place everything in there as they come in the mail. This way, I don’t have to hunt for them come April 15th.

Turn Your Donated Items Into BIG Tax Returns

image credit: inkyfingerz (Flickr)

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