Tax season is in full swing, and the Internal Revenue Service (IRS) is making changes to help Americans file their returns. The IRS recently announced that it is extending weekly office hours at over 200 Taxpayer Assistance Centers (TACs) across the country to provide additional in-person assistance during the filing season.
The extended weekly hours at TACs will be available until April 30, giving taxpayers more time to seek help with their returns. This extension is particularly beneficial for calendar-year filers, who have until April 15 to submit their returns. To find out if a nearby center is offering extended hours, taxpayers can use the IRS’s TAC Locator tool.
Additionally, many TACs are now open on select Saturdays to offer in-person assistance. Visitors can receive help with various services at TACs, excluding cash payments, during these special Saturday hours.
While online tax filing is popular, TACs still play a crucial role in providing assistance to taxpayers. In the fiscal year 2024, the IRS centers recorded over 2 million contacts, a 26% increase in in-person help compared to the previous fiscal year.
The IRS has introduced new tax breaks this season, including deductions for tips, overtime pay, car-loan interest, and enhanced deductions for seniors. These changes have resulted in more than 40% of income tax returns claiming at least one of these new tax breaks. Households claiming these deductions are receiving refunds that are, on average, $775 higher.
Focusing on tax strategies, high-net-worth individuals have utilized assets like real estate to lower their tax liabilities legally. Real estate offers generous tax treatment, allowing investors to claim deductions for expenses like mortgage interest, property taxes, and maintenance costs. Depreciation and tools like refinancing and 1031 exchanges further enhance the benefits of real estate investments.
Investing in real estate is now more accessible through crowdfunding platforms like Arrived, where individuals can invest in shares of rental homes with as little as $100. Another option for accredited investors is Lightstone DIRECT, offering access to institutional-quality multifamily and industrial real estate with a minimum investment of $100,000.
Diversifying investments with tax-advantaged accounts like traditional and Roth IRAs can help individuals grow their wealth. Ray Dalio, founder of Bridgewater Associates, emphasizes the importance of including gold in investment portfolios as a safe-haven asset.
Opening a gold IRA with Thor Metals allows investors to hold physical gold or gold-related assets within a retirement account, combining tax advantages with the protective benefits of investing in gold.
For personalized financial advice and portfolio management, Vanguard offers a hybrid advisory system that combines professional advice with automated portfolio management to help investors achieve their financial goals.
In conclusion, tax season presents opportunities for individuals to leverage new tax breaks, explore real estate investments, diversify with gold, and optimize retirement accounts. Seeking advice from a financial advisor can help individuals make informed decisions to secure their financial future.
