Like most of America's taxpayers, you have just completed filing your 2006 U. S. Individual Federal Income Tax Return, Form 1040 and your mind is the furthest thing from taxes. Perhaps you are caught up in the NBA finals, planning for a summer family vacation or planting in your garden. However now is the time to think taxes and do a few simple things to reduce your headache for next April 15 th.

#1 - Organize

Begin now to organize your tax documents that you will accumulate during 2007. Have a folder or envelope for pay stubs and quarterly income statements from banks or brokerage houses. Keep an envelope for charitable contributions, medical bills, taxes. Use your 2006 tax return as a guide to the type of expenses you will need for tax time. A little organization now will reap tremendous benefits next tax season when all the required documents are easily located.

#2 - Plan effectively

Taxpayers should pay the lowest legal amount of tax and one sure way to do so is to legally reduce your adjusted gross income. Participate in your company's 401(k) plan or make qualified retirement plan contributions to reduce your adjusted gross income

Adjust your withholding or increase your estimated tax payments if you owed taxes for 2006. Make these adjustments now in order that you will have adequate withholding for 2007 or in order that your estimated tax payments are sufficient to cover your tax liability. Proper planning today will avoid penalty and interest tomorrow.

#3 - Meet with your tax professional

The Tax Code is complex and often taxpayers need the assurance of a knowledgeable tax professional to direct them through the maze of tax preparation. Your personal circumstances may change, divorce, marriage, loss of dependent and your tax situation may radically be altered. Consult with your tax professional early and often when life circumstances may have a tax affect.

A little planning today results in a great plan for April 15 th.

Peter F Cicciari EA, CFP, CSA is a tax professional located at 940 Enchanted Way, Suite 103, Simi Valley, California 93065 and is a member of the National Society of Tax Professionals.

Phone 805-522-0554

Members of the National Society of Tax Professionals are committed to a Code of Professional Conduct. They are knowledgeable in areas of tax preparation and assist

America's Taxpayers in filing of their taxes and related services.