How to Maximize Your Tax Refund in 2025
Filing for taxes can be a stressful and daunting task even in the most straightforward of cases. Instead of losing sleep over filing, keep it stress-free with the assistance of the tax professionals at Watkins & Co.. After over 30 years of experience as a thriving accounting firm in Jackson, Mississippi, the tax pros at Watkins & Co. are your go-to local tax experts. We offer a comprehensive suite of accounting services designed to provide for every accounting need of individuals and businesses in the Jackson area.
Mississippi Tax Tips 2025
Keep Your Records Organized
The most effective way to ensure a good return, as well as smooth the way for easy tax filing is to keep records during the year. Staying organized throughout the entire tax year leaves you set up for success when filing for taxes. Be sure to set aside income documents (W-2s, 1099s, and income paperwork), expense receipts for deductible expenses (business expenses, education, business, medical bills, etc), and major life event paperwork (birth of a child, marriage, home purchase, etc).
File Early and Choose Direct Deposit
It’s important to file taxes on time to avoid penalties and fines related to late filing. Filing early is even more beneficial as it expedites your return. Early filing along with choosing the direct deposit route for your return not only ensures a timely return but also protects against identity tax fraud.
Determine the Best Filing Status
Your filing status can impact your tax obligations, especially for couples. It’s important to investigate the benefits of filing separately or as head of household (for one of you) rather than filing jointly. For instance, if one of you has substantial debt or medical expenses, separate filing may be more advantageous.
Consider Itemizing Deductions
The standard tax deduction may be straightforward and simple, yet in many cases, itemizing your deductible expenses can result in greater savings. To determine if this is the case for you, consider if your deductible expenses exceed the standard deduction amount – this includes mortgage interest, medical expenses, charitable contributions, and so forth.
Contribute to Tax-Advantaged Accounts
Add to your retirement, IRAs, 401(k)s, and other accounts that provide a tax advantage such as a Health Savings Account (HSA) or Flexible Spending Account (FSA) for medical, dependent care, etc. Doing so regularly reduces your taxable income which lowers your tax liability and maximizes your return.
Stay Informed About Tax Credits
Stay abreast on current tax credits which can quickly add up toward your refund. The Earned Income Tax Credit (EITC) can work in favor of lower to mid income families, Child Tax Credit for those with dependent children, and education credits (such as theLifetime Learning Credit or the American Opportunity Credit), are all credits you may be able to claim to increase your refund.
Best Tax Accountant Jackson, MS
Without doubt, the most effective way to receive a bigger tax refund is to enlist the help of a professional tax preparer. At Watkins & Co., we have decades of experience in helping individuals and business owners across Mississippi maximize their tax returns. We know every minute detail of tax filing in Mississippi and we ensure every aspect is accounted for, completed on time, and optimized for a favorable return.
Watkins & Co. proudly provides reliable and experienced tax accounting and CPA services to communities in Jackson, Madison, Ridgeland, Flowood, Brandon, and nearby areas. To maximize your tax return in 2025, contact Watkins & Co. today!