After ringing in the New Year with parties and festivities, our thoughts usually turn to the new tax filing year. There are several things taxpayers can do to maximize their refunds and speed up the process for receiving their money from the IRS.

 

Considering the economic downturn we have experienced, many of us will want to be extra sure we take advantage of every tax credit and deduction we qualify to claim.

 

There are Several New Benefits This Tax Year:

 

First-Time Home Buyer Credit: Taxpayers who bought a main home or who are thinking about purchasing a home should look into the tax benefits for purchasing now. You may qualify to receive a refund worth as much as $8,000.

 

Residential Energy Efficient Property Credit: How many of us are aware of global warming now and want to go green? Not only will going green help our planet, but it will also put more money into our pockets. Homeowners should check into the tax credit created to induce investments in alternative energy equipment.

 

The Residential Energy Efficient Property Credit equals 30% of what a homeowner spends on qualifying property including solar hot water heaters, solar electric systems, wind turbines, and others. Check with the manufacturer’s certification statement before purchasing or installing because not all energy efficient improvements qualify for the tax credit.

 

Child Tax Credit: If you have a child who is 17 years old or younger and is your qualified dependent, you probably qualify for the Child Tax Credit. This credit is in addition to the exemption you can claim for each dependent. Don’t get mixed up about child tax credits and child care credits. They are two different categories. The Child Tax Credit can be worth up to $1,000 for each qualifying child in addition to the $3,400 exemption you can claim.

 

So Many More Benefits Wait For You

 

If this is your first time filing, or you are wondering what changes have been made for filing tax returns this year, you’ve come to the right place. The best tax advice I can give you is to try an online tax preparation software company like TurboTax Online. Do you know the IRS has documented a significant increase in American taxpayers who file their income tax return forms from home computers? I can tell you why more and more people are filing from home.

 

With our economy in a slump, we realize we can save hundreds of dollars by preparing our tax returns by ourselves. If you choose to go to an established tax preparing business and have them fill out your return, you will see that they sit down in front of a computer and use tax preparation software. You can do it yourself and save hundreds of dollars.

 

Online Tax Preparation Software

 

Don’t feel like you can’t do it yourself! You are not going to believe how easy it has become to prepare your own tax return form. If you can answer simple questions that are asked in simple English language, then you can fill out your own tax form. If you have a question, you can always ask the tax experts that these programs make available to you. The software is amazing and will search for over 350 tax deductions and credits you probably didn’t even know existed.

 

Discover the Top 6 Reasons to Choose TurboTax