Wildfires have been spreading across the state of California, causing extensive damage. Homes and businesses have been lost in a matter of seconds – at one point, the fires were spreading at a rate of 100 feet per second. For those fortunate enough to make it out alive, they face the tough task of having to rebuild and reconstruct their finances. The IRS has offered tips for those who need to reconstruct their records after a disaster. The reconstruction of records can be vital when it comes time to prove a loss, receive federal aid, or receive insurance reimbursements.
As you’ve likely seen on the news lately, there has been a significant damage throughout the country due to natural disasters. Hurricanes recently struck Texas and Florida, while northern parts of our own home state have been ravaged by deadly wildfires. If you or a loved one are victims of the wildfires that began on October 8, the IRS has announced that you may qualify for tax relief.
Did you know that your charitable donations can impact your taxable income? Many charitable organizations are eligible to receive tax-deductible contributions, meaning you can claim a charitable deduction when you file your tax return. Whether you donate a couple hundred dollars to a charity you’re passionate about or a few bucks in support of a friend running a marathon, you should be able to claim a deduction if you take the proper steps.
For taxpayers, this time of year may be the second-most stressful. Obviously the first is the tax deadline itself. But when the IRS begins contacting taxpayers regarding audits, many people begin to sweat. Unfortunately, this nervousness is something that makes many Americans vulnerable and is something that scammers pry on. You should be careful not to fall for a scam, and be aware if you get a phone call from the IRS claiming you owe money.