- States With the Smartest Taxpayers
A large majority (75%) of taxpayers overpay on taxes and receive a tax refund, according to IRS data. A smaller proportion (19%) see the opposite: They will have overestimated their withholdings and learn they still owe the IRS some money. Apart from overpaying and underpaying, there is another small, exclusive group of savvy Americans who… read more…
- What Is the Tax Rate on Stock Options?
For many employees in America, especially those at tech companies and other startups, stock options are a part of compensation packages. While the right to buy stock in a company at a set price is an attractive form of compensation,… read more…
- Will the Government Shutdown Affect Tax Refunds?
The U.S. experienced a partial government shutdown from Dec. 22, 2018 to Jan. 25, 2019. This 35-day shutdown was the longest in U.S. history and disrupted the service of multiple federal agencies, such as the National Park Service. However, the… read more…
- How to Donate Your Vehicle to Charity
Donating your car to charity is a thoughtful and generous act. It’s also one that can save you some money on taxes. Many non-profit organizations that take automobile donations advertise it heavily, but doing research is necessary before you hand over your… read more…
- States Where It’s Easiest to Get Help Filing Taxes – 2019 Edition
Filling out your taxes can be a real headache. It’s no surprise, then, that online software like TurboTax has been growing in recent years to meet the demands of taxpayers in need of expert advice. But there are more resources available to you beyond tax software. Many states have programs to help taxpayers fill out… read more…
- States With the Highest Average Tax Refund – 2019 Edition
About 75% of American taxpayers overpaid on taxes in tax year 2016, according to IRS data. And though they may have been overjoyed to get a handsome tax refund, this scenario means they are simply being reimbursed for money they’ve lent the government. This tax season, whether or not an individual has a windfall on the… read more…
- What Are the Tax Benefits of an LLC?
One of the most popular ways to organize a business is as a limited liability company, otherwise known as an LLC. The true advantage of an LLC over other business entity types comes in the form of tax benefits. LLCs,… read more…
- Guide to the California Gift Tax for 2025
California does not levy a gift tax, however, the federal government does. That tax rate can climb to as high as 40%. Still, there are plenty of ways you can minimize the hit or avoid it all together. For the… read more…
- Where Full-Time Workers Pay the Most Taxes: 2019
It can be difficult to look at your paycheck and see upwards of 15% of it sent to the government. Of course, those taxes pay for worthwhile causes, a fact that doesn’t always lessen the initial sting of seeing your money disappear. Thanks to local and state taxes, though, residents in some places have it… read more…
- How Are Annuities Taxed?
An annuity can provide guaranteed income for the rest of your life. How annuities are taxed depends on the type of contract, how it was funded and how withdrawals are made. Earnings from annuities are generally taxed as ordinary income when withdrawn, while contributions made with after-tax dollars may be partially excluded from taxation. Consider working… read more…
- Guide to the North Carolina Gift Tax for 2025
North Carolina does not have a gift tax. However, you may trigger a gift tax at the federal level depending on the value of the gifts you provide. But you won’t owe a gift tax until you breach your lifetime… read more…
- Guide to the Florida Gift Tax for 2025
Florida does not have a gift tax. However, you may trigger a gift tax at the federal level depending on the value of the gifts you provide, but you won’t owe a gift tax until you breach your lifetime gift… read more…
- Guide to the New Jersey Gift Tax for 2025
New Jersey doesn’t have a gift tax. However, you may still owe a federal gift tax if the value of the gifts you provide exceed a certain amount. Following the passing of the Tax Cuts and Jobs Act, the federal… read more…
- Guide to the Minnesota Gift Tax for 2025
Minnesota no longer has its own gift tax but it does have an estate tax. You may still owe a gift tax at the federal level if you exceed your lifetime gift and estate tax exemption. The Tax Cuts and… read more…
- Guide to the Connecticut Gift Tax for 2025
Connecticut increased its lifetime gift tax exemption to $9.1 million for the tax year 2022, with the plan to rise in subsequent years. This means you won’t owe a Connecticut gift tax unless the gifts you provide in those years… read more…
- All About Gift Taxes: Do I Pay Tax on Gifts From Parents?
If you recently received a sizable gift from Mom and Dad, don’t fret about the gift tax. The IRS generally holds the giver liable for taxes. And unless the person is handing over a small fortune, he or she won’t… read more…
- IRS Form SS-4: Applying for an Employer Identification Number
If you run your own business, you need a way to identify it to the government when it comes time to do your taxes. The same is also true if you’re the executor of an estate, the creator of a… read more…
- Guide to Taxes on Selling a House
Selling a home is a major life change. But before you can concentrate on buying a new house, you’ll need to figure out how to properly report any profits related to the sale of your house. Such profit is known… read more…
- IRA Charitable Rollovers: Everything You Need to Know
If you have a traditional IRA, you will need to start taking required minimum distributions (RMDs) when you reach age 70.5. As traditional IRAs are tax-deferred, you will need to pay federal income tax on these distributions, but you can avoid… read more…
- 9 Rental Property Tax Deductions for Landlords
Being a landlord can significantly bolster your savings, but it’s also a lot of work. On top of the finances and responsibilities of your own living space, you have to find tenants, secure insurance and pay a mortgage and property taxes.… read more…
- Charity Tax Deduction
There are a lot of reasons to give to charity. The most obvious is that you’re giving money to a cause or group that you believe in. However, there is a common reason beyond that to make a donation: the… read more…
- What Is the Social Security Tax?
The Social Security tax is one reason your take-home pay is less than your income. The tax of 6.2% (on income up to $147,000 in 2022 and $160,200 in 2023) is deducted from your pay and appears on your paycheck stub… read more…
- What Is the First-Time Homebuyer Credit? Does It Still Exist?
The first-time homebuyer tax credit emerged during the 2008 financial crisis to help make buying a home more affordable for Americans. Though various other mortgage programs and loans exist, the tax provision here was strictly for first-time homebuyers. Simply put,… read more…
- Where Residents Are Most Likely to Pay State and Local Taxes
State and local taxes (SALT) are a frustrating part of living in a high-tax locale. Before the passing of the Tax Cuts and Jobs Act at the end of 2017, which ushered in sweeping tax legislation overhaul, Americans could deduct state and local taxes, including income and property taxes, from their federal income taxes. Under… read more…
- What Is the W-4 Form and How Do You Fill It Out? Simple Guide
IRS Form W-4 tells your employer how much federal income tax to withhold from your paycheck. You’ll be asked to fill one out when you start a new job. You can also submit a new W-4 to your HR or payroll… read more…