Make Taxes Less Stressful by Preparing Throughout the Year

By: Roni Deutch | Posted: 19th May 2010

Now that tax season has passed you can finally relax. However, by preparing throughout the year you can help make next tax season less stressful.

Collect and Store 2009 Tax Documents

Now that tax season is officially over it is time to store your financial records and copies of your tax returns. Depending on how the year goes, you might be able to use your tax return as a guide to prepare and file next year's tax return.

Adjust Withholdings

If you had either a large refund, or a tax bill due this year then you might want to consider adjusting your withholdings. You can ask your employer for a W4 and have either more or less withheld from your paychecks. This can prevent an unwelcome tax bill next year.

Even if you received a refund, you should still consider adjusting your withholdings. By giving the IRS more money out of each of your paychecks than necessary, you are basically giving the federal government an interest free loan. Additionally, by changing your withholdings you can get more money every pay period.

Estimated Quarterly Payments

If you own a business or are a self-employed taxpayer, you will need to remember to make estimated quarterly payments throughout the year in order to avoid penalties next April. Listed below are all of the payment due dates for the year:

April 15, 2010
June 15, 2010
September 15, 2010
January 15, 2011

Stay Up to Date on Tax Law Changes

Congress makes changes to our tax code throughout the year. Therefore, by keeping up-to-date on the latest tax news you can avoid being caught off guard by new tax laws. For daily tax news and updates be sure to check CEO Roni Deutch's personal blog, or subscribe to her RSS feed.

Give Year Round & Keep the Receipts

If you are looking for a good way to lower your tax liability, then you should consider making charitable contributions throughout the year. You could donate clothing or household appliances when you do your spring-cleaning. Alternatively, you could pick a charity and setup a monthly automatic transfer from your bank account. Just be sure to keep receipts and records of all charitable contributions in a safe place.

The Tax Lady Roni Deutch and her law firm Roni Deutch, A Professional Tax Corporation have been helping taxpayers across the nation find IRS tax relief for over seventeen years. The firm has experienced tax lawyers who can fight IRS tax liens on your behalf.
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Tags: ceo, irs, tax liability, tax returns, paychecks, receipts, tax return, due dates, federal government, household appliances, tax documents, personal blog, charitable contributions