If you have followed my advice, then you should have very little work left to do. Just finish recording the last of the year’s transactions and you are ready to go. But don’t forget that now is the time to think about whether purchasing an item or paying a bill before the year end will save tax money. Medical bills, real estate taxes, and mortgages payments that include interest are all examples of bills that if due right after the first of the year might have a tax saving advantage if you pay them now. Also if you are planning on purchasing insulation, new windows, doors or energy saving appliances then purchasing in 2006 could get you up to a $500 credit against your 2006 federal taxes.
Making an appointment with your tax preparer now if you haven’t already, could save you quite a bit.
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