what are some good tips for filing taxes? ex: tax breaks, certain reciepts i should keep, ect ....?

Answer 1

It depends on your salary breakup.

The general receipts that you need to keep is,

1) Medical bills for the entire year (uptp Rs .15000/-)
2) LIC / Mediclaim / other premium receipts
3) House rent receipts .
4) PPF Account statement , if you have one

Answer 2

Make sure that you get the full benefit of your refund by staying far away from H & R Block or one of those other commercial places. The IRS has a program called VITA that does free tax preparation for households earning $40,000 or less. They can make sure that you get all your eligible credits, such as the Earned Income Tax Credit, the Child Tax Credit, the Dependent Care Credit, etc.

This is an absolutely FREE service. They can e-file and do direct deposit so that you can get your return back in 7-10 days. There is no need to get a refund anticipation loan, which is really nothing more than a high interest loan where you would be paying to borrow your own money. You have worked hard for your money and you should be able to keep it! To find a VITA free tax site near you, call the IRS at: 1-800-829-1040.

I work with the VITA sites in Nashville and know that it can make a huge difference for working families. www.unitedwaynashville.org/nwba.

Answer 3

Keep all W-2s and 1099 forms sent to you at the beginning of the year. Also keep receipts for child care, medical expenses, education expenses, and housing expenses. Also keep any records on any other taxes you may have paid, and also records of large purchases like a car.

As for filing, I like the software packages like Turbo Tax. They just ask you a boat load of simple questions. You answer yes or no, and fill in the data when asked for. They figure out your taxes taking every deduction and credit they can, then you can file electronically or print it out and mail it.