: Need all the deductions you can get this year? Here are several examples of what deductions you may be able to accelerate to keep 2015 taxable income down:
--If you are self-employed, or have other source of income which does not have any withholding, pay state estimated tax installment in December instead of on the January due date. (Only works when not subject to AMT.)
--Pay your entire property tax bill, including installments due in the year 2016, by year-end. This does not apply to mortgage eskrow accounts.
--It may be beneficial to pay 2016 tuition in 2015 to take full advantage of the American Opportunity Tax Credit, an above the line deductions worth up to $2,500 per student to cover the cost of tuition, fees and course materials paid during the taxable year. 40% of the credit (up to $1,000) is refundable, which means you can get it even if you owe no tax.
--Try to bunch "threshold" expenses, such as medical and dental expenses (10% of AGI starting in 2013) and misc. itemized deductions. For example, you might pay medical bills and dues and subscriptons in whichever year they would do you the most good. Threshold expenses are deductible only to the extent they exceed a certain percentage of AGI. By bunching thses expenses into one year, rather than spreading them over two years, you have a better chance of exceeding the thresholds, thereby maximizing your deduction.