Want A Larger Tax Refund – Consider These Tax Deduction Tips

It seems like everywhere we look there is some advertisement for saving money – this includes your tax return. As you file your taxes this year consider these tips to increase your tax deductions to get a larger tax refund. Should you have any specific questions about any tax deductions – consult a tax professional for their guidance.

Tax Deduction Tips

Investment Porfolio Capital Losses – Take a look at your investment portfolio to find your 2008 losses. These losses can be balanced against your capital gains which could result in a net loss. The IRS let’s you claim, or deduct, a net loss of up to $3,000 against your salary or other ordinary income. If you have more than $3,000 you can carry the balance forward to the future and write off on next year’s taxes and beyond.

IRA – Roth IRA and other Retirement Plan Contributions – In many cases you can make contributions to your retirement accounts through April 15, 2009 for the 2008 tax year.

Do you make charitable contributions? Have you claimed charitable tax deductions in the past? Is so these can be continued to be deducted, but did you know that you may be able to deduct expenses that you have while working for a charitable organization? Some of these expamples might be phone call charges, or driving expenses going to and from your charity activities.

Have you suffered any type of property loss from a fire or from wind damage for example? If so, for the 2008 tax year you are now able to claim a tax deduction for your losses no matter what the loss is as compared to your adjusted gross income. In the past the loss had to exceed your adjusted gross income by more than 10% to allow them to be deductible.

Great news for business drivers who claim business related driving, mileage, and other vehicle tax deductions. For the second half of the 2008 tax year, the IRS has increased the "cents-per-mile" deduction to 58.5 cents per mile. Also check with your tax professional for any tax deductions associated with increases in moving related expenses and medical travel related expenses.

Do you own property and file a non itemized tax return? If so, for the 2008 tax year you should be able to claim a standardized property tax deduction with the amount being dependent on how you file your return – single or married jointly.

There are many other tax deduction ideas to consider. Check with a tax preparation professional to get specific advice on your personal or small business tax return, and good luck in getting a larger tax return.