Not Itemizing on your Tax Return?
You Can Still Claim Certain Deductions.
Filing taxes is a stressful affair, causes anxiety and can be highly confusing. Should you take the standardized tax deduction of $6,200 for singles? Double that amount for couples.
Itemizing your tax deductions may give you a bigger refund, but will necessitate keeping all your medical, tax, and charitable contribution receipts. You will also need to follow all the percentage rules and exceptions. Keep your records from your mortgage company as well as all banking records.
Saving all your receipts is daunting, traumatic and maybe unnecessary. Instead, use the tax breaks that are allowed in addition to the standard deduction.
Adjustments to income, also known as above-the-line deductions, have no income limits. Take as many adjustments to income as you can. Taxpayers in the 35% tax bracket can lower their tax bill by $350 for every $1000 above-the-line deductions. The lower your Adjusted Gross Income is, the larger your tax return (or, the less you have to pay the IRS.)