Pay Into Your Future

• Investments in your retirement can provide you a significant tax reduction. If you invest in an Individual Retirement Account (IRA), you have two advantages going for you. First, investing in an IRA lowers your annual income in a tax sense, as the money put into an IRA is not taxed. Second, if you invest and are within the right categories, you can claim back IRA contribution credits. If your adjusted gross income is less than $50,000 a year filing a joint return as a married couple, less than $37,500 if you are the head of a household or $25,000 if you are not the head of a household, but still filing, you may be able to claim back 10 percent to 15 percent of what you contributed.
  
  

Buying a Car

• If you bought a new car or qualified motor vehicle in the 2009 tax year, you may be entitled to a reduction in your taxes. This is part of the American Recovery and Reinvestment Act of 2009. If you buy a car anytime between Feb. 16, 2009 and Jan. 1, 2010, you may be entitled to a deduction of up to $49,500 in local and state taxes.
  
  

Medical Expenses

• If you enter a weight loss program, or any other therapy, remember to keep track of extra expenses. If there is any food recommended by a physician that would not be a normal part of your diet, you can deduct these expenses from your taxes. Also, you can deduct any mileage when driving back and forth from the doctor's office for treatment.