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It is Now the Right Time to Reduce Your 2014 Tax Headache. Like most of America’s taxpayers, you have just completed filing your 2013 U.S individual Federal Income Tax Return, Form 1040 and your mind is the furthest thing from taxes. Perhaps you are caught up in graduations, NBA finals, planning for summer family vacation, and planting in your garden. However, now is the time to think taxes and do a few simple things to reduce your headache for the next April 15. Taking the following steps would do much in reducing that headache before it is too late
  1. Organize Begin now to organize your tax documents that will accumulate during 2014. Have a folder or envelope for pay stubs and quarterly income statements from the bank or brokerage houses. Keep envelope for charitable contributions, medical bills and taxes. A little organization now will reap tremendous benefits next tax season when all required documents are easily located.
  2. Plan effectively and efficiently. Taxpayers should pay the lowest legal amount of tax and one sure way to do so is to legally reduce your adjusted gross income. Participate in your company’s 401(k) plan or make qualified retirement plan contributions to reduce your adjusted gross income.Adjust your withholding or increase your estimated tax payments if you owed taxes for 2013. Make these adjustments now in order that you will have adequate withholding for 2014 or in order that your estimated tax payments are sufficient to cover your tax liability. If your employer does not deduct taxes from your wages, please consult your Tax Professional to arrange for appropriate estimate payments to both IRS and your State. Proper planning today will avoid penalty and interest tomorrow.
  3. Meet with your tax professional Tax Code is complex and often taxpayers need the insurance of knowledgeable professionals to direct them through the maze of tax preparation. Your personal circumstances may change, divorce, marriage, loss of dependent and your tax situation may directly be altered. Please consult your tax professional early and often when life circumstances may have a tax effect.
A little planning today results in a great plan for APRIL 2015. Always remember: YOU FILE YOUR 2014 TAX RETURNS IN 2015 BY APRIL 15. HOWEVER, WE CAN REQUEST AN EXTENSION TO OCTOBER 15 2015 FOR YOU. This has to be requested before April 15, 2015. By Michael M Kisembo UDBS, BA, MTS, MBA, DBA
Dr. Michael Kisembo is tax Professional with two offices at 51 Morris St, Everett MA 02149 and 40 Crescent St Waltham MA 02453. He is a Professor of Taxation, Finance, Accounting, Operations and Global Management at Hellenic College in Brookline Massachusetts and a President and CEO of Multi-Professional Consultants LLC. He is an active Member of the National Society of Tax Professionals. Members of the National Society of Tax Professionals are committed to a Code of Professional Conduct. They are knowledgeable in areas of tax preparation and assist America’s Taxpayers in filing of their taxes and related services.

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