Are you looking to absolutely maximize your taxes and get the most money back this year? This is the article for you. Read below to go over a few areas that you can make sure you cover to help you get the most money back in 2019!
5 Ways to Get the Most Money Back in 2019
If you are supporting a child in college, you may be eligible to claim valuable education credits. Or your child can claim the credit, even if they have little to no income. The American Opportunity Credit is great because up to $1,000 is refundable. That means you could receive as much as $1,000 even if you had no tax liability. The total credit is $2,500 and applies only to the first four years of undergraduate higher education expenses. If you're in grad school or beyond, you may be eligible for the Lifetime Learning Credit.
Credits for energy-saving home improvements keep more money in your wallet throughout the year and at tax time. The credit for 2018 and 2019 is up to 30 percent of the cost, then reduced percentages apply for 2020-2021. So if you just installed solar panels at a cost of $20,000, your total credit is $6,000.
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Educator expense: If you're a teacher, you may be able to deduct up to $250 for unreimbursed school supplies you purchased. This deduction is available even if one does not itemize and takes the standard deduction.
Medical expenses: If you, your spouse or dependent received medical, dental or hospital care, you may be able to deduct your medical expenses and lower your tax bill. In order to qualify, you also have to itemize your deductions and your deductible expenses have to be more than 7.5 percent of your adjusted gross income.
You can make contributions to your traditional and Roth IRAs for the 2018 tax year until April 15, 2019. So if you are eligible for the traditional IRA deduction you can still contribute and claim that deduction on your 2018 tax return.