Tax and funding professional Jeffrey Levine highlights IRA and HSA contributions among the many methods you possibly can nonetheless reduce your tax invoice.
The deadline for submitting 2022 tax returns is (for most individuals) simply days away. But it’s not too late to make strikes to assist cut back your tax obligations.
Jeffrey Levine, chief planning officer of Buckingham Strategic Wealth, tells TheAvenue’s Robert Powell that there’ nonetheless loads of time for most individuals to save lots of on their 2022 taxes in the event that they contribute to sure retirement accounts earlier than April 18.
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In his “Ask the Hammer” video sequence for Retirement Daily, Levine solutions a reader’s query about last-minute strikes to chop their tax invoice.
Levine explains that it’s not too late for many individuals to save lots of on their 2022 taxes in the event that they contribute to sure retirement accounts earlier than April 18. He goes on to elucidate different strikes that enterprise house owners could make to chop their tax invoice, and nonetheless different non-retirement account methods folks can save on their taxes.
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Among Levine’s last-minute tax-saving methods:
- If you’re eligible to make a conventional IRA contribution and to have that contribution be deductible, most people would have the ability to do this up till April 18.
- If you’re a enterprise proprietor, you could possibly contribute to a plan for your self by your small business. That may be a SEP IRA contribution or a profit-sharing contribution.
- Levine says that whereas not a retirement account per se, Health Savings Account, or HSA, contributions may be made till the submitting deadline so long as, in 2022, you have been enrolled in a high-deductible, HSA-eligible medical insurance plan.
- Watch the total video with Levine on Retirement Daily.
Levine provides, “the only other thing you can do now to reduce your tax liability for last year is be organized. Being organized is underrated as a way to reduce your taxes — not because of what you did, but because of reporting what you did in the most accurate manner and getting all the deductions you should be entitled to.”
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In some components of Georgia, Alabama and California, the winter storm harm this previous 12 months was so intensive that the IRS is giving residents till Oct. 16 to file their return. This contains counties like Alameda and Marin in California in addition to Jasper and Meriwether in Georgia.
Regardless of whether or not one is affected by the disasters, all filers are capable of prolong their deadline on the IRS web site, and you may as well examine the date of the extension for the county the place you reside on the IRS.gov web site.
The one caveat is that those that file their return after April 18 for disaster-related causes might want to mail it moderately than submitting electronically.
Source: www.thestreet.com”