For more, go to www.irs.gov and click on "Rebate questions?"
Consider that Tax Tip No. 1.
Here are nine more.
2. The IRS might owe you a refund from a previous year. There's no penalty to file late if the government owes you money. But if that refund is for tax year 2004, you have to file by April 15. Just in Pennsylvania and New Jersey alone, more than $80 million is owed to more than 85,000 people who never filed a 2004 income-tax return. The average unclaimed refund is more than $500. For more, go to: http://go.philly.com/refund.
3. Don't overlook the earned-income tax credit. Up to a fourth of those who qualify fail to take this credit, the IRS estimates. Yes, it's for workers in lower income brackets, but a family of four could earn nearly $40,000 and get $4,700 back. Go to: http://go.philly.com/eic.
4. Save taxes now by adding to a regular IRA. There's only one way to legally reduce your 2007 taxes now. That's by contributing to an individual retirement account. Those under 50 can put up to $4,000 in an IRA, those between 50 and 70-1/2 up to $5,000. Those over 70-1/2 years are ineligible. Another kind of IRA, the Roth, is not deductible, but its earnings can grow tax-free. For more, go to http://go.philly.com/taxira.
5. You may be able to prepare and e-file your tax return for free. Through www.irs.gov, you can find a list of tax-preparation companies that will help you do and e-file your federal taxes for free if your adjusted gross income is $54,000 or less. In Pennsylvania, 70 percent of taxpayers would qualify, Stewart said. Some services don't even charge for state returns. Go to www.irs.gov, and click "Use Free File to Prepare Your Taxes." Filing just to get a stimulus check? On the Free File page, look for a special link.
