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It’s April 15 a.k.a. Tax Day! Hopefully, your 2014 taxes are squared away, but there are a few things brides-to-be should keep in mind for next year’s filing. Connecting the dots between your wedding and taxes starts long before you decide if you want to file jointly or separately. Here, six things to remember about taxes and your wedding.
1. Consider venues that are historical, a national park, or other public places like museums. Some venues’ rental fees are considered a donation, thus allowing you to write off part of your payment when you do your taxes. Always check with the site, as there simply isn’t one big umbrella that these all fall under. Same goes for some churches.
2. Beware the state + city tax in some places. If you think paying a tax of 7 percent in Boston or 8.875 percent in Manhattan is a lot, try 11 percent in Richmond, VA. Their state tax is just 5 percent, but the extra 6 percent for weddings within city limits make the tax spike. Do your due diligence and don’t just assume a usually-cheap state will always mean a lower tax line.
3. Find out if your venue donates extra food, which can potentially count as a charitable deduction. With all the turnkey packages out there (like the gold, platinum, and diamond-feed-them-till-they-pop), this is becoming more common for many catering companies.
4. Speaking of donations, keep track of anything else you donate. Whether it’s your table decorations or your gown, many charities are happy to accept these items for their events or to sell them and put the profits toward their cause, like Brides Against Breast Cancer. Don’t forget to keep the receipts.
5. Know which vendors are going to charge you a tax or not. For example, your florist may tack on tax for the goods being produced for you, but your photographer may give you one flat-rate fee because he’s already built in his tax obligations to his rate.
6. Build it into your budget. It sounds like a no-brainer, but you should be listing out the final cost of everything — gown, food, transportation, whatever — and not just the face value of things. Your gown is not $1,500, it’s more like $1,590. Transportation isn’t $1,200, it’s around $1,272. And so on. Be hyper-aware of all the tax you’re paying and you’ll be less likely to be surprised if/when you go over budget.