• Beware the Alternative Minimum Tax (AMT): Review your AMT situation with TaxACT now to see if you'll be one of nearly 23 million taxpayers potentially affected by the AMT. taxact-online.com Find out more about how this could affect your tax return or delay your refund.

• Use up your Flexible Spending Account (FSA): If you still have money left in your FSA, don't let it go to waste. Stock up on qualified over-the-counter medications, get new glasses or contacts, or see your dentist. Or, check with your employer to see if they offer a 2 1/2 month grace period to spend your flex funds.

• Make charitable contributions: Donating clothing and household goods by Dec. 31, 2007 will allow you to deduct the fair market value of those donations on your 2007 taxes. Also, don't forget that for all cash donations and donations of goods worth over $250, you must now have a bank record or written communication from the charity in order to take the deduction.

• Be energy efficient: This is the last year to claim a credit for the purchase of qualified energy efficiency improvements to your existing home (including a new furnace, air conditioner, windows, doors, and insulation) or for the purchase of a residential solar water heating, photovoltaic equipment, or fuel cell power.

• Max out contributions to your retirement plan: In general, the IRS allows you to contribute up to $15,500 in a 401(k) plan if you are under 50 (up to $20,500 if you are over 50).

• Accelerate payments that can provide tax deductions: You can claim the interest or real estate tax deduction in 2007 if you pre-pay your January 2008 mortgage or property tax bill by Dec. 31, 2007.

• Postpone income: If you can defer your income from 2007 into 2008, the income won't apply to your 2007 taxes. But note, you can't defer income by not depositing a check that was issued in 2007.

• Offset capital gains: If you have any investments that have generated deductible losses, you can use the losses to offset any gains. You can use $3,000 of net capital losses in excess of capital gains to offset ordinary income.

• Defer capital gains: If you're a stock owner and expect to be in the 10% or 15% tax brackets next year, you may want to wait until 2008 before selling any shares. If you do, you won't pay any tax on the profits from the sale of assets you've owned longer than one year.