Organizing pays off at tax time!
I thought of this forum as I was doing my taxes Tuesday night, and thought I'd share a quick tip.
Last fall, my husband and I did a huge closet clean-out, mine first, then his. And having gone through the tax deduction software the year before realizing I needed better records, I made a point of recording how many of each type of clothes, shoes, and handbags we donated to goodwill. I kept track in my PDA, but paper will work if you don't lose it...
This made it really easy to get the acceptable amounts for each type of clothing from the online software "Its Deductible", and transfer that to our tax software forms. In the end, I had $900 worth of deductions from that closet clean-out!
Maybe most people already do this, but it was a first for me...and made it much easier than trying to "estimate" the worth of my donated items (my deduction was much higher than if I'd "guessed" at it). Just thought I'd share in case anyone else could find it useful for next year.
*Disclaimer: I don't have any affiliation to the software mentioned, aside from having used it this year.