As tax seaons comes to a close, many taxpayers a relieved to think that there is no reason to worry about taxes for another full year.  Mid-year tax reviews may be important for those experiencing life-changing events, however.  Events that would warrant a tax review are: planning for a child's education, job changes, sale of investments, the decision to retire (or to continue working), sale or puchase of a home, birth of a child, change in marital status, death of a spouse or other family member, contributions to an IRA. ...read more

The IRS usually communicates with taxpayers through letters.  Occasionally they will telephone in order to clear up minor questions.  If you receive an e-mail from the IRS, particularly an e-mail asking for bank account information, delete it.  The IRS does not ask for this type of communication and it is very likely a scam.  If you are unsure, contact your tax preparer, but DON"T respond to the e-mail with personal information. ...read more

Most people already know to bring their W-2's and old tax returns to their appointment with their tax preparer, but there are many items that people do not think about. If you have childcare expenses, remember to bring records showing the name, address, and ID number of the provider as well as the amount of the expense.  If you had a job related move of more than 50 miles bring records of the moving expenses as well as lodging expenses.  Medical expenses may be deductible  if the exceed certain limits.  Bottom line is, if you keep records, and you're not sure whether a deduction is allowed, bring the records to your appointment! ...read more

Many people are intimidated by the IRS and wonder what to do if contacted.  First, stay calm.  Panicing will not solve the problem, if, in fact there even is a problem to begin with.  Next, and equally important, do NOT ignore the letter!  Often, the trouble taxpayers get into with the IRS is a result of ignoring IRS communications.  If the letter is confusing or you are unsure what it means, contact your tax professional as soon as possible so that you respond to the IRS appropriately. ...read more

There's only 60 days left to come up with some tax deductions to maximize your refund for 2010.  One of the best things you can do to increase your tax refund is to max out your 401(k) contributions. Next, go through all your personal belongings and make a large donation to Goodwill or your favorite charity. Do you have some stocks that are losers and that will never regain their value?  Sell them before December 31st, 2010 and get a tax loss deduction. Well, this is my first blog ever, hope it works! Terry Butler Tax Solutions 408 Sapphire Street Redondo Beach, Ca.  90277 (310) 316-0125 taxprepguy@aol.com www.myincometax.com ...read more

Have tax questions?  Looking for financial calculators?  Try my website at www.myincometax.com Redondo Beach Income Tax Preperation ...read more