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Tips to Help You in Federal Tax Returns for the 2008 Income
The Federal Tax Return Season has started. This year, the government has come up with some measures to help people for smooth filing of tax 1040ez returns for 2010 income. The IRS commissioner recently said that he wants people to take advantage of all the available tax credits offered by the government.

Understanding these tax credits or deductions allowed by the federal government can help you increase the refund amount significantly.

Here are few tips that will help you prepare the 2010 incometax return better -

1. Federal Government last year announced a stimulus package. People who couldn't take advantage of that last year can still do so by filing a one-time recovery rebate credit. You can do that on form 1040, 1040A or 1040EZ.

2. Tax rebates for Mortgage workouts - For most of the homeowners, these mortgage workouts are tax free. So that is another deduction that can be claimed in 2008 federal tax returns.

3. Electronic Filing of returns - IRS is encouraging people to use electronic means to file tax returns. This is beneficial to people as well as to IRS. And that is because this way the manual workload of IRS will reduce since the efiling tax softwares do all the validation, so less chances of human error and since the data is already entered in the system, data entry time is reduced and this way IRS is able to quickly send refunds.

That is the reason that most people who file federal income tax return electronically, they get refunds much quickly than people who file through paper forms.

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