·
Review your
portfolio. Consider taking a loss if you
have substantial capital gains.
·
Review tax
refunds. Are you loaning your money to
the government tax free?
·
If you owe state
income taxes, consider contributing to a 529 College Savings Plan for your
grandchildren. NY allows a deduction up
to $5,000 (or $10,000 for married filing joint filers) for contributions made
by an account owner to an account belonging to NY’s 529 plan.
·
Plan your
itemized deductions. If you are on the
border for itemizing deductions focus on bundling. Time deductible expenses to produce lean and
fat years. The goal is to surpass the
standard deduction amount. Standard deduction rates for 2013 are $12,200 for
married taxpayers filing joint and $6,100 for single taxpayers. The additional standard deduction amount for
the aged or blind is $1,200.
