If you itemize your income tax deductions (meaning you deduct your mortgage interest, property taxes, charitable deductions, etc.) you could be in for a big surprise next year! Congress just changed the tax law for 2018 and beyond. Many people that currently deduct the above items will no longer be able to starting next year and should take action before 12/31/2017.
So what should you be doing?
- Reach out to your county auditor to find out how much you owe for next year
- Visit your treasurer’s office to pay the bill before 12/31 to claim your deduction this year.
- Make your charitable donations this year!
- From a tax standpoint, your charitable donations are not likely to help your tax situation in 2018. So clean out the house now and make those last minute gifts to Goodwill or your favorite charity.
- Most people underestimate how much their clothes and furniture could be worth. Take a look at The Salvation Army’s Valuation Guide here.