TAX TIDBITS
It’s preparation time for income tax filing. 2007 Individual
Tax Returns are due April 15, 2008. Here are a few tidbits and changes to keep in mind.
Student Loan Interest Limits Went Up. You may be able to deduct
up to $2,500 of interest you paid on qualified higher education loans.
Hope & Lifetime Learning Credit Income Limits Went Up. For
2007, you may be able to take the Hope ($1,650) or Lifetime Learning ($2,000) Credit if your modified adjusted gross income
(MAGI) is between $47,000 and $57,000 (single) or $94,000 and $114,000 (married filing joint).
Charitable Donations. You can receive a deduction for your giving
to qualified organizations, like SAC-CAA and St. Aug’s National Alumni Assoc. Beginning 2007, the IRS has upped the burden of
proof on donations. Therefore (1) for a monetary donation, it is better to write a check or use a credit card. But should
you give cash, be sure to get a receipt. (2) Make sure the organization to which you are giving, qualifies as an IRS charity,
like SAC-CAA. If in doubt, ask. (3) For non-monetary giving, such as clothes, household good, etc., take a picture and make
a list. Save these with your receipt from the organization. (4) Some mileage is also deductible. Make a log to record your
driving to and from the site when you do volunteer work. Parking fees also apply. So, come join SAC-CAA at the Panthers Stadium
or at Lowe’s Motor Speedway and help yourself while
you help our future alumni.
2007 Standard Mileage Rates.. 2007
Standard Deductions…
Charitable Work 14 cents/mi
Single
5,350
Medical/Moving 20 cents/mi
Married (filing Separate) 5,350
Business Travel 48.5 cents/mi
Married (filing Joint)
10,700
Head of Household
7,850
Single
Married Jointly Head
of Household Tax Rate
$1-7,825
$1-15,650
$1-11,200
10%
$7,826-31,850
$15,651-63,700
$11,201-42,650
15%
$31,851-77,100 $63,701-128,500 $42,651-110,100 25%
$77,101-160,850 $128,501-195,850 $110,101-178,350 28%
$160,851-349,700
$195,851-349,700 $178,351-349,700 33%
Over $349,700
Over $349,700
Over $349,700
35%
