There is always something satisfying when you get a fat and big refund from IRS. The boss always withhold a large part of the paycheck every month for state and federal income taxes and this is the time that you should get some cash back. If you want to get back the biggest refund that you have never gotten otherwise, you should know how to improve the chances of having the biggest tax refund you never got before.
Increase the withholding: when you begin your new job, the human resources manager will ask you to fill out the W-4 form in order to determine if you have kids, you are married or you are single. If you have more people in your household, you will be given more exemptions and allowances to your claim. In case you wish to improve the odds of getting enough refund, you should talk to the human resources department and ask them to drop some exemptions and to withhold more at the end of every month.
Deduct the donation: the itemized deduction is the best way that you can lower the taxable income. IRS lets you deduct at least 50 percent of the taxable income when paid to the charitable contributions and for tax-exempt organization. These are about the nonprofit hospitals, colleges, charitable organization, community groups and religious organization. The deductibles contributions include the securities, stocks, personal properties and money together with the expenses you may have incurred when you volunteer.
Professional expenses: another way of itemized deduction is to look for job related expense. When you pay the money out of the pocket because of your job and it is not reimbursed by the boss, then you should not add such costs to the taxable income.
The example may involve paying for professional organization, laptops for your work, cell phones, work clothes and uniforms that you need. You may also include the time you took to commute to see the clients.
Review the filling status: IRS has different standard deduction amount for different income tax filing statuses. Normally, a married couple who file their claim together, they are able to file twice the standard deduction of single filers or for the married couples that file differently. In case you are a single filer, you should check the filing status and consider which options will give you better returns.checkout full details at http://www.forbes.com/sites/kellyphillipserb/2016/01/20/irs-tax-preparers-report-smooth-opening-on-first-day-of-tax-season/#2715e4857a0b1d645aaf69f2
Include family obligation: you are able to deduct a number of different expenses that are related to the immediate or extended family. When the child goes to the daycare to help you and your partner to work, then the daycare costs should be deducted. This is the same when you spend for the care of an elderly relative or parent, when you pay for the alimony to the ex-spouse. All these are the money have to be deductible.view more tips here!
Refinance the home: IRS is going to deduct the interest paid in a year towards home mortgage. When you refinance the mortgage, you will be restarting the payment process and this means that most of the mortgage payment will be paid towards the interest.