As Deadline Looms, CPA Financial Planners Offer Their Favorite Last-Minute Tax Tips

The clock is ticking, and taxpayers have only days left to file their 2007 returns.

NEW YORK, April 11 /PRNewswire/ -- The clock is ticking, and taxpayers have only days left to file their 2007 returns.

To help them as they race toward the April 15 deadline, CPAs holding the Personal Financial Specialist (CPA/PFS) credential of the American Institute of Certified Public Accountants offer their favorite last-minute tax tips:


-- If you cannot deduct a contribution to a traditional IRA, always make
a Roth IRA contribution instead. Earnings on Roth IRA accounts can
be withdrawn tax free, whereas earnings on traditional IRA accounts
will be taxable when withdrawn.
Connie Brezik,
Asset Strategies Inc., Scottsdale, AZ
Member, AICPA Personal Financial Specialist Credential Committee

-- If they qualify, taxpayers must file a tax return to receive the
Economic Stimulus rebate, even though they may owe no tax and might
not otherwise be required to file.
Irvin Diamond,
REDW Stanley Advisors, Albuquerque, NM
Member, AICPA National CPA Financial Literacy Commission

-- Double-check your higher education credits.
Michael Eisenberg, Los Angeles, CA
Member, AICPA National CPA Financial Literacy Commission

-- One advantage of a declining stock market is the opportunity to
realize capital losses. These can be very helpful in offsetting
gains. There's no limit on the number of carry-forward years.
Beth Gamel,
Pillar Financial Advisors, Waltham, MA
Member, AICPA National CPA Financial Literacy Commission

-- Make your IRA contributions by April 15. You can extend your income
tax return. Contributions to an IRA, which may result in a 2007
income tax reduction, cannot be extended.
Randi Grant,
Berkowitz Dick Pollack & Brant, Fort Lauderdale, FL
Chair, AICPA Personal Financial Planning Networking Group

-- Consider contributing to education savings plans if such
contributions are consistent with your personal financial plan.
Robert Jazwinski
JFS Business Advisors LLC, Hermitage, PA
Chair, AICPA Personal Financial Specialist Credential Committee

-- After you finish your 2007 return, pay attention to the marginal tax
bracket your total taxable income lands in.
Marsha LePhew,
LePhew Financial Services, Rock Hill, SC
Member, AICPA Investment Committee

-- Taxpayers who do their own returns should pay attention to tax
credits. Everyone focuses on deductions, but few are aware of
credits, which reduce taxes dollar for dollar. Pay attention to the
following: Child Tax Credit, Hope Credit, Lifetime Learning Credit,
and Child and Dependent Care Credit.
Steve Levey,
The GHP Financial Group, Denver, CO

-- Plan all year, not for 15 minutes before you have your return
prepared.
Marc Minker,
Mahoney Cohen & Co., NY, NY
Member, AICPA National CPA Financial Literacy Commission

-- If you overpaid last year, you're over-withholding. Increase the
number of exemptions.
Ken Strauss,
Berkowitz Dick Pollack & Brant, Fort Lauderdale, FL
Member, AICPA Personal Financial Planning Executive Committee

About the AICPA

The American Institute of Certified Public Accountants (http://www.aicpa.org) is the national, professional association of CPAs, with more than 350,000 members, including CPAs in business and industry, public practice, government, and education; student affiliates; and international associates. It sets ethical standards for the profession and U.S. auditing standards for audits of private companies; federal, state and local governments; and non-profit organizations. It develops and grades the Uniform CPA Examination.