Act Now on Tax Credits, Deductions, Flexible Spending Plans; Save Money Next Year on Your Taxes

Dec. 21, 2009— -- You're in the middle of the holidays, and the New Year is just around the corner. With it, thoughts may turn to your taxes.

Mellody Hobson, the "GMA" personal finance adviser, is offering you five tips -- things that you can do right now to save big come tax time:

Get energy-efficient appliances and home improvements. The stimulus bill includes tax incentives for energy-efficient home improvements for 2009 and 2010. To take advantage of the credit this year, you should buy before Jan. 1. You could receive a credit of 30 percent up to $1,500 when you purchase certain energy-efficient items or improvements, including insulation and air conditioning systems. There are limitations. For more information, check out the government's Web site at www.energystar.gov. Be aware that if you claim the full amount of the credit in 2009, you won't be able to claim it in 2010.