ales tax deduction for states that do not have state income taxes, the deduction for school teachers, college tuition and fees, and a research and development credit for businesses. There is a slight chance that these tax breaks could be extended after the November elections. If they do, IRS, software developers and taxpayers will be at a disadvantage when it comes time to file tax returns because these items have been left off the design of the 2006 tax forms which are being printed this monthWith the end of 2006 so near, is there anything you can do to help keep some of your hard earned money instead of paying it out in taxes in 2007? Most taxpayers are concerned with shopping for the holidays not looking to what awaits them right after the start of the new year. There is still time for calendar year taxpayers to look at their tax situation for 2006 and make some strategic plans that will minimize their tax burden for 2006. Knowledge of new tax laws can help you with that task. What are some of the new tax provisions that can help you or cause you grief if you fail to plan for them now? The following are just a few of the items that are new.

Charitable contributions are usually high during the Thanksgiving and Christmas holidays. If you plan to donate and deduct your contribution for 2006, you should be aware of the new law for contributions enacted this summer by Congress in the Pension Protection Act of 2006. One of the provisions of this act is better record keeping requirements for all contributions. All deductible contributions must be provable either by receipt, bank records, checks or a letter from the charity so long as it gives the donee's name, the date of the contribution and the amount of the contribution.

Cash contributions are not deductible unless there is some type of written receipt. No proof equals no deduction. Donations of used household goods and clothing are also not deductible unless they are in good used condition or better. Household goods donated may be disallowed even if they meet the good used condition requirement if the amount of contribution is minimal. Larger donations may require a certified appraisal. If you are a donee, contact your CPA to find out how you can comply with the new law that is effective for contributions after August 17, 2006.

Several tax breaks due to expire at the end of 2005 were not extended for 2006 even though they were part of legislation before Congress. They include sales tax deduction for states that do not have state income taxes, the deduction for school teachers, college tuition and fees, and a research and development credit for businesses. There is a slight chance that these tax breaks could be extended after the November elections. If they do, IRS, software developers and taxpayers will be at a disadvantage when it comes time to file tax returns because these items have been left off the design of the 2006 tax forms which are being printed this month

hat are some of the new tax provisions that can help you or cause you grief if you fail to plan for them now? The following are just a few of the items that are new.

Charitable contributions are usually high during the Thanksgiving and Christmas holidays. If you plan to donate and deduct your contribution for 2006, you should be aware of the new law for contributions enacted this summer by Congress in the Pension Protection Act of 2006. One of the provisions of this act is better record keeping requirements for all contributions. All deductible contributions must be provable either by receipt, bank records, checks or a letter from the charity so long as it gives the donee's name, the date of the contribution and the amount of the contribution.

Cash contributions are not deductible unless there is some type of written receipt. No proof equals no deduction. Donations of used household goods and clothing are also not deductible unless they are in good used condition or better. Household goods donated may be disallowed even if they meet the good used condition requirement if the amount of contribution is minimal. Larger donations may require a certified appraisal. If you are a donee, contact your CPA to find out how you can comply with the new law that is effective for contributions after August 17, 2006.

Several tax breaks due to expire at the end of 2005 were not extended for 2006 even though they were part of legislation before Congress. They include sales tax deduction for states that do not have state income taxes, the deduction for school teachers, college tuition and fees, and a research and development credit for businesses. There is a slight chance that these tax breaks could be extended after the November elections. If they do, IRS, software developers and taxpayers will be at a disadvantage when it comes time to file tax returns because these items have been left off the design of the 2006 tax forms which are being printed this month

keeping requirements for all contributions. All deductible contributions must be provable either by receipt, bank records, checks or a letter from the charity so long as it gives the donee's name, the date of the contribution and the amount of the contribution.

Cash contributions are not deductible unless there is some type of written receipt. No proof equals no deduction. Donations of used household goods and clothing are also not deductible unless they are in good used condition or better. Household goods donated may be disallowed even if they meet the good used condition requirement if the amount of contribution is minimal. Larger donations may require a certified appraisal. If you are a donee, contact your CPA to find out how you can comply with the new law that is effective for contributions after August 17, 2006.

Several tax breaks due to expire at the end of 2005 were not extended for 2006 even though they were part of legislation before Congress. They include sales tax deduction for states that do not have state income taxes, the deduction for school teachers, college tuition and fees, and a research and development credit for businesses. There is a slight chance that these tax breaks could be extended after the November elections. If they do, IRS, software developers and taxpayers will be at a disadvantage when it comes time to file tax returns because these items have been left off the design of the 2006 tax forms which are being printed this month

ter. Household goods donated may be disallowed even if they meet the good used condition requirement if the amount of contribution is minimal. Larger donations may require a certified appraisal. If you are a donee, contact your CPA to find out how you can comply with the new law that is effective for contributions after August 17, 2006.

Several tax breaks due to expire at the end of 2005 were not extended for 2006 even though they were part of legislation before Congress. They include sales tax deduction for states that do not have state income taxes, the deduction for school teachers, college tuition and fees, and a research and development credit for businesses. There is a slight chance that these tax breaks could be extended after the November elections. If they do, IRS, software developers and taxpayers will be at a disadvantage when it comes time to file tax returns because these items have been left off the design of the 2006 tax forms which are being printed this month

ales tax deduction for states that do not have state income taxes, the deduction for school teachers, college tuition and fees, and a research and development credit for businesses. There is a slight chance that these tax breaks could be extended after the November elections. If they do, IRS, software developers and taxpayers will be at a disadvantage when it comes time to file tax returns because these items have been left off the design of the 2006 tax forms which are being printed this month and next month for 2006.

The telephone excise tax on long distance service will be available for refund in 2007 for bills after February 28, 2003 and before August 1, 2006. There is no need to dig out old phone records in order to take this refund because the IRS has come up with a simplified method of claiming the refund. The simplified method will be a standard amount based on the total number of exemptions claimed on the 2006 tax return. It will amount to $30 for a one exemption, $40 for two exemptions, $50 for three exemptions, and $60 for four or more exemptions. However, if you have those old records, you can analyze those bills for the tax paid on long distance service and deduct the actual amount if it is more than the standard deduction computed by IRS.

Look over your financial records. Get with your CPA and see what other tax provisions might help you make your holidays bright and your tax bill to Uncle Sam a lot lighter.