As 2012 draws to a close, Advantage 3 Tax and Financial Services has two helpful end-of-year tax tips to get you ready to file your return.
- For non-cash contributions made this year (clothing or household items), keep an itemized list of each donation, including its fair market value, along with a picture and a receipt from the organization to which you donated. Visit this Good Will Industries link for a list of estimated values for commonly donated items: http://www.goodwill.org/wp-content/uploads/2010/12/Donation_Valuation_Guide.pdf.
- For monetary contributions, save your cancelled checks or credit card statements, plus obtain a written record from the non-profit organizations. Know that they must be IRS-recognized 501(c)3 non-profits in order to claim your donations in your itemized deductions on your tax return.
Sound confusing? Janet Vinke and Susan Lange, partners at Advantage 3, can help you navigate these and other tricky tax laws. Lange is also a Dave Ramsey Endorsed Local Provider for tax services. For more information, visit them at www.advantage3.net or make an appointment for a free consultation at 708-478-8000.