With 2016 quickly coming to an end, there are a few tax tips to keep in mind. No, it’s not officially tax season, but Yahoo Finance reports that 77 per cent of people don’t even think about their taxes until the New Year, and almost half (48 per cent) wait until just before they file their return in April. But to set you up to be financially successful in 2017, it’s best you take advantage of some tax benefits to lower your tax bill come next year. Most people are more worried about their finances around the holidays this time of year. This is why we broke down the important tax tips to utilize before the end of 2016 to make it easier for you now and come tax time.
We all know the holidays are meant for giving. And now is the perfect time to make sure you get your charitable donations in for the year. Why? This way you’ll get your donation credit sooner than later. This will count towards and help reduce your 2016 taxes and be reimbursed at tax time instead of waiting till 2018 to submit 2017’s taxes.
Kids Extra Curricular Activities
The government is phasing out both the children’s art and fitness tax credits as of 2017. This means it is your last chance to save from $250 to $500 on various activities for your children. Didn’t use all of this year’s credit? You can also pre-register for activities your children will do in 207 to also take advantage of this tax credit before it’s gone.
Home Accessibility Tax Credit
A new tax credit that was introduced in 2016, the Home Accessibility Tax Credit is for anyone who has needed to do any home renovations for a claim of 15 per cent up to $10,000 to help seniors and those who qualify for the disability tax credit to create a more mobile space and functional home.
Teacher and Early Childhood Educator School Supply Tax Credit
Another new tax credit for 2016, the Teacher and Early Childhood Educator School Supply Tax Credit lets education professionals claim up to $1,000 of eligible teaching supplies and can see up to a 15 per cent return on their taxes. This credit covers things items frequently used in the classroom such as art supplies, Bristol board and even items such as educational support software.