5 Reasons Why you Should File your Federal Taxes Early

Since tax season has come and gone, most people are not thinking about filing their federal taxes for next year. However, instead of waiting until the last minute to file, consider having all your required documents ready to go in order to prepare for next years tax season.

Having all your receipts, documents, and forms ready will make it easier to file when the time comes. Filing as soon as possible means there is one less thing to worry about. If you have all your required documents in hand, why put it off? The IRS lets you file as early as January.

Tax Benefits for Higher Education

The costs for attending college are rising each year making it difficult for many people to afford to go. Many people may not realize that there are a variety of tax benefits available to assist students with the expense of obtaining a higher education. These benefits include credits, deductions and savings plans that can help reduce college costs by thousands of dollars.

One of the credits available to college students is the American Opportunity Credit (AOC). For the first four years of post-secondary education, taxpayers can qualify for the $2,500 maximum credit for tuition and other qualified expenses including books, materials, and supplies needed for a course. This credit is available for those in higher income brackets as well.