With the current postal and electronic delivery of tax statements, W2s, 1098s, and the like, the 2007 tax season for calendar year 2006 is in full swing.

Many of us are contemplating how to successfully transmit our return for the maximum tax savings attainable. At the pricier end of the spectrum are large and small CPA firms. Most returns can be completed for under 100 at any of the tax preparation chains. If you have a background in income taxation, tax software like Turbo Tax is pretty good and can be downloaded to your PC. If your Adjusted

Gross Income (AGI) is below 52,000, you may qualify for free electronic filing at www.irs.gov/efile. E-filing and direct deposit can cut the time you would otherwise wait for a paperfiled return in half. Some lower income taxpayers may qualify for free tax assistance through various agencies like the Campaign for Working FamiliesEarned Income Tax Credit EITC Program here in Philadelphia.

The EITC is money that lower income taxpayers are eligible to receive when they file their tax returns. The credit ranges from $412 to $4,536 depending upon whether or not certain qualifications are met. For 2006, married couples filing jointly with two or more qualifying children can get up to $4,536 if their AGI is less than $38,348. At the other end of the spectrum, Single or Head of Household taxpayers can get up to $412 if their AGI is less than $12,120. If taxes due are less than the credit amount, you can get the difference back as a refund.

There are some specific EITC requirements which include 1 filing status cannot be married filing separately and 2 you cannot be the child of another person. Keep in mind that there are differences between deductions and credits, and some credits are fully refundable, where others are not. You can receive the EITC even if you have zero taxes due.

A new tax break this year is the Telephone Excise Tax Refund. The IRS will refund taxes on longdistance or bundled service billed to you for the period after Feb. 28, 2003 and before Aug. 1, 2006. Taxpayers should request this refund when they file their 2006 tax return. If you calculate the actual amount from your phone bills, you can attach Form 8913 to your tax return. Individual taxpayers can take a standard amount from 30 to 60 based on the number of exemptions claimed on their tax return. One exemption30, Two exemptions40, Three exemptions 50, Four or more60.

Since everyones tax scenario is different, let us know what areas or specific questions you have. Please feel free to send an email to infoblackballot.com and we will try to provide complete and succinct answers within a twoweek time frame.