One of the items that many people rely on for retirement planning is Social Security. You know that you will likely receive Social Security benefits (although they might be reduced). However, Social Security benefits are also among the surprising things you pay taxes on. Depending on your income level, and where that money is coming … Read more Strategies to Reduce Taxes on Social Security Benefits
The tax year is over, so it’s too late to come up with ways to lower your tax bite. Or is it? Below are six strategies to reduce your taxable income, and all they will take is a closer look at expenses you had during the year, or even to create some now that will … Read more 6 Strategies to Reduce Your Taxable Income
For both individuals and small businesses, keeping track of all the important tax and money due dates throughout the year can be overwhelming. Forgetting a deadline is an extremely costly mistake in most cases: you end up paying fees and penalties for slipping up. Don’t let a lack of organization cost you; here’s a list … Read more Important Tax and Filing Dates for Individuals and Small Businesses
I have been running my home business for almost six years now. As a result, I am well acquainted with the concept of paying quarterly estimated taxes. Paying quarterly estimated taxes not only keeps the IRS off your back, but it also helps you avoid a huge — and sometimes inconvenient — tax bill each … Read more Do You Need to Pay Quarterly Estimated Taxes?
In the past the process of getting rid of a used vehicle that you didn’t want to bother selling was pretty simple. Just find a charity to accept the vehicle as a donation and take a tax deduction the fair value of the vehicle. It seemed like a win-win. The charity sells the vehicle and … Read more Should You Ever Donate Your Vehicle to Charity?
If you drive for Uber or Lyft, sell stuff on Amazon or eBay, or process sales through online payment processors like Square and PayPal; there is a good chance that you received a 1099-K form this year. If you received one and don’t know what it is, it is critical you have a full understanding … Read more What is a 1099-K and What You Need to Know
If you hired contractors to perform work for you, you will have to create a 1099-MISC form for each contractor that you paid $600 or more to over the course of the year. These forms have to be mailed out to your contractors before January 31st and filed with the IRS before February 28th (March … Read more How to Create 1099-MISC Forms and File Online with the IRS
What could be more stressful than figuring out your income tax? Discovering that you did not pay enough tax this year, and on top of that, many of your exemptions and deductions will no longer be applicable because you are subject to the Alternative Minimum Tax. The AMT is one of the most confusing tax … Read more What is the Alternative Minimum Tax and How Does It Work?
One of the benefits of buying a home is that you can deduct the mortgage interest you are paying on your loan. Since the inception of the income tax in 1913, the mortgage tax deduction is still one of the most popular deductions for homeowners. Generally, all mortgage interest can be deducted from your federal … Read more Home Mortgage Interest Deduction: How It Works and the Big Myth
It can be tempting to chalk up all your entertainment expenses as business expenditures but you must resist the temptation or face the music from the IRS. Small business expenses do have rules and if you break them, you could find yourself in tax trouble. Entertainment expenses including those for meals out are sometimes the … Read more 5 Guidelines for Deducting Entertainment Expenses from Your Small Business