Exemptions

• There are five different types of filing status: single, married filing jointly, married filing separately, head of household, and qualifying widow or widower. Single taxpayers with no dependents really have no choice but to claim just one exemption --- themselves. You can't claim a dependent unless you're responsible for the person, such as a child or elderly parent the Internal Revenue Service considers a "qualifying child" or "qualifying relative." You can claim two personal exemptions on the W-4 form you complete for your employer's payroll department.
  
  

Tax Bracket

• Knowing what tax bracket you're in is helpful, particularly when you're weighing decisions that have tax implications, such as a job offer, buying a home or donating to a charitable organization. Tax brackets for 2011 range from 10 percent to 35 percent; tax brackets for 2012 are expected to range from 10 percent to 39.6 percent. Additionally, understanding how your tax bracket affects your tax liability is important. For example, if you're in the 25 percent tax bracket, that doesn't mean you pay 25 percent of your income to the government for taxes. Actual tax liability is a lower percentage than the percentage referred to as your tax bracket.
  
  

Reduce Taxable Income

• There are a number of ways to reduce your taxable income. Increasing your pretax retirement contributions through payroll deduction is one of the easiest ways, and you benefit from the added contributions you make toward retirement savings. In addition, weighing the pros and cons of contributions to a flexible spending account that your employer may offer could effectively reduce your tax liability or the amount you pay in taxes for items and services covered under flexible spending account regulations.
  
  

Recordkeeping

• Maintaining your income statements, real estate and personal property taxes, donations and cash contributions are essential records that are extremely helpful when you file your taxes. It's much simpler at tax-filing time if you have all your financial records at your fingertips instead of searching for each kind of record while completing your tax forms.
  
  

Itemize Deductions

• Many single taxpayers take the easy route when they file their income tax returns --- they check the box for a standard deduction and don't realize that itemizing deductions could cost them quite a bit of money. Itemizing deductions takes slightly more time and effort; however, it can significantly reduce your tax liability. A variety of available software applications track donations' actual value and depreciation of items that are difficult to place a value on; these programs also are compatible with online tax filing programs, which makes the actual task of filing forms much simpler.