If you do not plan properly then you may end up paying extra tax. Income tax laws are complicated and that’s why people avoid dealing with it. But saving taxes isn’t complicated. There are several ways in saving them legally. These tips will help you from paying extra tax.
1. Tuition Fees – People spend hefty amounts on tuition fees for their kids. With the help of I-T laws, you can save some amount on your tax which is beneficial for the child’s tuition fees.
2. Charitable Donations – We always feel joy when we donate towards charities. By paying a certain amount to a charity, you can claim tax exemption under certain laws. This good deed will save tax.
3. Donations to rural development or scientific research –You can reduce heavy tax amounts by donating for rural areas or scientific research. Though this is for a good cause, it also helps you to fetch benefits like tax exemption and lucrative return.
4. Medical expenses for differently-abled dependent – You can avail tax benefit if you have a differently-abled person in your family. You can save decent amount for the differently-abledperson who is dependent on you.
5. Pension Funds – You must always plan ahead for the future once you retire. Investing on pension funds reduces your taxes when you contribute to certain pension funds.
There are agencies that provide expert tax solutions in Bankstown, Australia. Consult them to save taxes.