Save Money on 2009 Taxes- New Tax Guide Features Recovery Tax Breaks

If you're one of the many who have lost jobs this year, it's a good idea to pick up deductions now to save as much as you can on your 2009 taxes. Remember, even if you can't pay your taxes in full, you must file to avoid late penalties.

On the Job Hunt:

If the total expenses you've paid on your job hunt totals at least 2% of your adjusted gross income, you can deduct these expenses. This includes getting resumes printed, computer ink, mailing costs, and sometimes even the cost of plane tickets for an interview! In order to claim this, you have to itemize your deductions.

Special tip: If you take a new job that requires a move, you can claim all of the moving expenses!

College Credit:

If you or your children are attending college, you can collect a tax credit of up to $2,500 thanks to the American Opportunity Tax Credit. Even if you merely pick up a couple of courses, you can still claim up to $2,000 if you qualify.

Charitable Donations:

This deduction is a classic. You can donate unwanted clothing and items to charity and claim the amount as a Tax Deduction. You need the organization to sign a list of items and values of each.

Warning: Many will exaggerate the value of the clothing and items. Be honest, because can sense patterns. They are naturally suspicious when deductions are made.