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Have some tax ‘what ifs’? IRS has answers

April 28, 2009

Today's post is a bit late because, for the first time in months, I took a weekday off. The hubby and I played work hooky and headed to our local movie house to catch a flick, then enjoyed a late lunch.

The film was Sin Nombre, a riveting look at what some people will do to have a chance at a better life.

Whatever your stance on the immigration issue, see Sin Nombre. The movie isn't a policy polemic for either side of this difficult issue. Rather, It provides a vivid, and sometimes depressing and terrifying, view into why so many "nameless" people try to reach El Norte every day.

The movie provided some good discussion for the hubby and me over our meal. We both realize that while we've worked hard for what we have, we also are very lucky to have been born in the United States to loving families.

Even now as I'm settling in to do a little work this afternoon, I've still got that great "what if that had been me?" question rattling around in my head.

So, as I get back into the tax swing of things, it seems only fitting to note that when you have tax "what if" questions, you might be able to find the answer at the IRS. The agency has put together a collection of tax scenarios that many folks are encountering in this economic downturn.

While this IRS video on the "what if" Q&A feature won't win any film festival awards, it does highlight some of the more vexing tax issues — foreclosure, job loss, 401(k) devaluation, bankruptcy — that too many taxpayers are having to deal with now.

And looking at that list, again I thank my lucky stars that overall, my life, tax and otherwise, is pretty darn good.

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TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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