Statewide Iowa — As 2021 draws to a close, some Iowans are dusting off those shoeboxes or file folders with the past year’s worth of receipts, bank statements and financial papers in preparation for the annual tax chore.
CPA Jeff Strawhacker says there are a few changes this year that will impact many thousands of Iowans.
Many Iowans got three pandemic-related economic stimulus checks from the federal government over the past two years, though only one of those three checks is a concern on our latest tax returns.
Some Iowans traditionally make their charitable contributions at year’s end, however, Strawhacker says recent tax law changes have made those donations something people now do more out of the goodness of their hearts — and less as a tax write-off.
If making a big year-end donation to charity isn’t good from a tax standpoint, he suggests you consider putting more toward your retirement plan instead. For many Iowans, those W-2s should be arriving in our mailboxes or via email in a little over a month, so those who are eager for a refund check will be able to get to work.
He reminds, its vital to always be aware of your tax situation, employer contributions, retirement plans, mortgage rates and new legislation — to make sure you’re doing things efficiently and to your best financial advantage.
