3 Things Aging Adults NEED to Know Before Tax Day
Taxpayers have two weeks to file their 2019 income tax returns and pay any taxes owed to the government. We have put together a list of things you should keep in mind.
1) Changes have been made.
The normal filing date has been extended to July 15 to help Americans who were facing disruption amid the coronavirus pandemic. Additionally, there is no requirement to satisfy your Required Minimum Distributions (RMDs) for 2020, so accounts have a chance to rebound from the losses suffered earlier in the year.
Regarding RMDs, if you took any withdrawals from retirement accounts, you have until Aug. 31, to roll the funds back into your IRA and not have a taxable consequence.
2) Do not overlook medical deduction opportunities.
The cost of medically necessary care-related services, home and community based, can be fully deducted against income. Therefore, it may be worth using money in retirement accounts, as the deduction may offset enough, to not generate a taxable consequence.
There are a number of additional medical expenses allowable; supplies, insurance premiums and copays, miles, even entrance fees and rent to communities can be deductions!
3) We are here to help you.
Call Longevity Income Solutions at 1-855-733-3337 with any last minute questions. We can discuss what may qualify and we can help ensure properly accounted for income taxes.