Taxes: Everyone’s favorite thing to worry about just once per year. Taxes are more of a worry for some people but are exciting for others who get a refund from income taxes. In reality, we pay taxes in many forms almost every day and hardly realize it. The tax code in the US (or any [...]
People often talk about getting tax deductions, but that’s actually not what a tax credit is. Here’s the main distinction between the two terms: A tax deduction lowers the amount of your income that is taxable. For example, you might have $50,000 in income, but deductions reduce the taxable portion to $35,000. A tax credit [...]
According to the IRS, if you are employed you need to fill out the tax form W-4. Purpose of the W-4 Form Through the W-4 IRS form the employers get a clear idea about the amount of money they need to withhold from the employee’s paycheck. W-4 form serves as a proof that the company [...]
At the end of a tax season many businesses and individuals get an audit call. The auditors visit the tax payers and check their records. People usually panic when they receive such a call. Here are few audit steps that you should follow when you receive a tax audit call: Read and review the Audit [...]
The alarming situation is that when the companies did not pay the amount of tax fully that it owe, keeping in mind that the IRS has had all rights to a lien on the property and income. Many go for the tax settlement firms to get help. The process involves negotiation by the firms which [...]
First of all, let’s understand the offshore companies; these are those entities that are set outside the jurisdiction of a particular country to enjoy tax exemptions. The term is normally used for a company whose head offices are a location in countries which are a known tax havens. Following are the major advantages of an [...]
Receiving a tax notice is not good in all ways. But, the payroll tax problems are enough to spin your head. As, they are different from the personal taxes. It is also a matter of fact that about 53% of the people are not paying payroll taxes. And, so it makes sense for IRS to [...]
Federal tax cuts traditionally pay a price. Practically gratuitous over the last 18 years, tax cuts continue their dubious tradition with the final passage of a tax reform bill by the U.S. Congress in January—but only after two government shutdowns. Since such taxpayer relief started, the national debt and its incumbent reflex to raise the [...]
So, a man across the casino just lost a bundle betting on black instead of red, but he thinks to himself, "No worries, I can just write it off on my taxes!" But, then once he leaves, he begins to think about doing this a little more seriously. Can he really write his gambling losses [...]
On February 28, 2018, the IRS officially announced the release of a completely new IRS Form W-4 and along with it a new "withholding calculator designed to help individual taxpayers determine whether the 2018 withholdings are correct, or need be adjusted.” The new changes to IRS regulations include changes to the individual income tax rates [...]
