Last Minute Tips For Year End Tax Preparation

Give a Gift:
Taxpayers can give up to $13,000.00 in 2011 to any number of people without having to file a gift tax return.  Larger gifts are taxable, but few taxpayers ever have to pay the gift tax thanks to a credit that covers the bill on up to $5 million ($10 million per married couples) in taxable gifts.

Bond Swaps:
If you hold bonds that have decreased in value, you can lock in a tax loss by selling the bonds and reinvesting in a different bond with the same or higher cash flow. You can use the capital loss to offset any 2011 gains.

 

Stacey R. Edwards Jones, Managing Partner
stacey@joneslawmn.com

Jones Law Office
212 Madison Avenue, Suite 100 | Mankato, MN 56001
phone: 507.385.4488 | fax: 507.385.1288 | website: www.joneslawmn.com
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