2006 Tax Tips

Tax time is almost upon us, here are some tips to make things easier.

Self-Employment Retirement Contributions - Self-employed? Simplified Employee Pension (SEP)? Make tax year contributions until April 16, 2007 or October 15, 2007 if you file an extension.
Home office deduction - Self-employed? Qualify for a home office deduction? Include a portion of heating and lighting costs and home insurance premiums with your write-offs.
Renovations - Recent eco-friendly renovations?  Additions like natural gas, new windows, energy-saving appliances, renewable energy sources like solar panels or windmills increase your eligibility for a tax credit.
Investment properties - Repair costs on investment properties are deductible for the year paid with major residential remodeling projects depreciated over a span of 27.5 years.
Early mortgage/property tax payments - Deduct the mortgage interest and any pre-paid property taxes this year for January 2007 mortgage payments made in 2006.