A new California tax collection requirement mandates that large out-of-state retailers, such as Amazon.com and Overstock.com, collect sales taxes on all online purchases made by customers in the state of California. The new legislation was signed by Gov. Jerry Brown last week and went into effect on Friday, July 1, 2011, ... Read More
Tax Tips
Will 401k Contributions & Distributions Impact the Total Tax Bill?
Saving money today for tomorrow's expenses is the best way to ensure long-term financial security. With the future of the nation's supplemental retirement income program up in the air, consumers are urged to save as much money as possible during their working years in order to grow retirement funds. One of the most popular ... Read More
Taxes & Alimony: IRS Requirements for Reporting Alimony Payments
Alimony payments, sometimes referred to as “spousal maintenance,” are tax-deductible for the alimony payer and taxable income for the alimony recipient. The IRS has requirements for reporting alimony and charges penalties against those who do not report it correctly. Here is what you should know about taxes and alimony: What ... Read More
Capital Gains Rates For Long Term/Short Term 2010, 2011, 2012, 2013+
It's important for all taxpayers to understand what information must be reported to the IRS for tax purposes. This includes any gain or loss from the sale of capital assets. A capital asset is considered anything owned by an individual for investment or personal purposes. As a general rule, capital assets include property and ... Read More
Unemployment Taxes: Tax Breaks & Considerations for the Unemployed
Being unemployed is challenging enough, taxes are probably the last thing on your mind when you're out of work. If you receive unemployment pay, you will have to pay taxes on the money you receive as income. In some situations, though, federal tax laws can help reduce some of the financial difficulties of unemployment with tax ... Read More
Understanding the Child Tax Rate for Your Children’s Investment Income
Investment income is subject to federal taxes. This includes income earned for investments in a child's name. It is important for parents of children who have investment income to understand how this income should be reported when filing your annual tax return. There are several factors which must be considered which determine ... Read More
IRS Form 8300: Q&A on Reporting Cash Payments Over $10K
Individuals who have received over $10,000 in cash payments must understand how to report this income and which forms are necessary. To ensure that you are reporting and filing your income correctly, consider the following filing requirements as described by the IRS: What is Form 8300 and who must use it? Form 8300 is used ... Read More
Filed Taxes FAQs: Where is My Refund, Made a Mistake, Moved & More
So the tax deadline has come and gone and your taxes are filed for yet another year. Now you may be wondering how long before I will get my tax refund? What do I need to keep for tax record purposes and for how long? What happens if I realize I made a mistake on my return? I just moved, what do I do? These are all very common ... Read More
Small Business Accounting Services: What CPAs Do & What to Expect
Your accountant is not a mind reader, and unless you communicate your expectations of them, you may be surprised at what services they provide you. An accountant for a small business can do more than simply prepare a tax return – and if you do not discuss your individual needs you may find he or she plans to provide a full ... Read More
Why and How to Avoid a Tax Refund
When you filed your tax return this year were you entitled to a refund? If so, was it a substantial one? Approximately 65-70% of all people who file a tax return are due a refund. The average refund for individuals from the IRS was $3,036 for the 2010 filing season! Why is that? Many people think of their tax refund check every ... Read More
Standard Deduction 2010: How IRS Standard Deduction Works & Amounts
Earned income is subject to federal taxes. To legally reduce the tax liability owed on earned income, taxpayers can claim deductions and tax credits when filing their annual tax return. There are several tax deductions which lower the amount of income subject to tax, with taxpayers having a choice between claiming the standard ... Read More
Make Contributions to IRA Until April 18th to Reduce 2010 Taxes
Most people can deduct some or all of their IRA contributions, which means there is often some scrambling right before the tax deadline as people make their IRA contributions! For the tax year 2010, people get an extra weekend to contribute to an Individual Retirement Account (IRA) and still deduct the contribution on the tax ... Read More
