It's getting to be that time of year when Uncle Sam wants his due. Or maybe you're lucky and are expecting a return. Taxes are generally lower for 2003 because of recent changes in the tax law.
For instance, most tax rates have dropped two percentage points (3.6 points for the top rate). Taxes on capital gains and qualified dividends have also dropped, while the elective deferral rates for retirement plans and individual retirement arrangements have risen.
Filing your own return and trying to make sense of tax laws can be daunting, but help is available. For information from the Internal Revenue Service itself, go to its Web site, www.irs.gov Click on 1040 Central, then under Contents, click on Retirees/Sr. Citizens for information of particular interest to older taxpayers. Don't overlook the rest of the Web site, however, because there's much information that is not age-specific. Forms can also be downloaded from this site.
For those who need but can't afford professional tax-preparation help, the IRS's Tax Counseling for the Elderly program can provide assistance. As part of this program, AARP offers its Tax-Aide counseling program at more than 9,000 sites nationwide during tax season. Most of these sites also offer free, electronic filing which can speed up the refund process. (Note also that the AARP Web site has a tax counseling service that allows you to ask questions online.)
To get more information or find the Tax-Aide location closest to you, call AARP toll-free at 1-888-227-7669, or visit www.aarp.com/taxaide
- Write to Nancy Paradis in care of Seniority, St. Petersburg Times, P.O. Box 1121, St. Petersburg, FL 33731.
