To be truthful, tax preparation is a solitary stressful task that family caregivers must undertake. When you’re caring for an elderly relative, it’s easy to overlook taxes. We understand that this isn’t rare. Thankfully, the Tax Cuts and Jobs Act (TCJA) of 2018 effectively quadrupled everyone’s standard deductions. This indicates that the regular deductible that seniors (65 years and older) could now claim before collecting the bonus reduction is significantly higher than it was previously. To put it another way, seniors (and their caretakers) are currently pleased with their tax records. With all that in perspective, we’ve compiled three main income tax preparation & filing suggestions in this piece to assist you as a senior figure in navigating the tax season efficiently.
Here are some tips from William D King –
Recognize your rights
The tax benefits available to people aged 65 and up are often surprising, and it’s easy to overlook them. If you don’t itemize all of your deductions, for example, you may be entitled to a ‘greater than usual’ proportion of your regular senior deduction. If either of you (as a pair) is blind, this amount increases even further. The “Care for the Elderly” account balance is another perk that a senior member could overlook. This credit is only available if one of the pair members is handicapped. The money obtained is determined by the person’s age, filing status, as well as income. Credits have always been appreciated, as long as they are earned and legal.
Avoid con artists at all costs
Scammers seem to be everywhere, able to reap the benefits of any scenario, and the elderly are by far the most vulnerable category. You should always remember that the IRS, or any of its connected agencies, would never contact you without your permission in order to get private information. William D King asks you to consider these helpful hints if you ever receive a phone call that appears to be a scam:
- Immediately hang up the phone and never accept a call like this again.
- Regardless of who the person pretending to be is, never furnish them with any kind of personally identifiable information.
- Never buy a gift card and give them the code to pay for the debts you owe them.
- Don’t send money over the phone in any amount.
Don’t take your social security for granted
It’s difficult and time-consuming to figure out the precise taxable amount of a Social Security benefit. If you’re handling your own taxes, pay special attention to the Social Security payments spreadsheet. You can also request two copies so that you can double-check your work and eliminate any mistakes (if any). Keep in mind that you should always pay taxes on your Social Security benefits if your provisional income exceeds $32k per year.
Keep these considerations in mind and seek assistance from a qualified professional to avoid conflicts of interest while still handling your tax affairs.