- Differences of Tax Credits vs. Tax Deductions
There are a number of ways to decrease your tax burden. The two most popular ones, though, are likely tax credits and tax deductions. While these may seem like they are the same thing, they are actually two very different… read more…
- Filing Taxes for the First Time? You’ll Need These Documents
Filing taxes for the first time can be nerve-racking. But being organized can relieve some of your stress. Knowing what paperwork and materials you’ll need is a good place to start, especially if you’re concerned about leaving out a key piece of information. If you’re preparing to fill out your tax return, here’s a breakdown… read more…
- Top 3 Tax Tips for Self-Employed Workers
It’s tax time and if you’re self-employed, you’ll need to plan ahead. What you do between now and the April tax filing deadline can have a significant impact on the amount of income tax you owe. If you work for yourself, here are some important moves that you’ll need to make to reduce your tax bill.… read more…
- How the Trump Tax Plan Will Affect You
President Trump signed the Tax Cuts and Jobs Act into law in December 2017. This bill largely didn’t affect individual income taxes until the 2018 tax year, which you filed in early 2019. How exactly the Trump tax plan affects you depends… read more…
- Do Sin Taxes Affect Cigarette and Alcohol Consumption?
Smoking is the leading cause of preventable death in the United States, according to the Centers for Disease Control and Prevention. An estimated 480,000 people die each year from smoking-related deaths, costing an estimated $300 billion in healthcare costs and… read more…
- What Is Tax Increment Financing?
Have you ever wondered how city governments pay for big infrastructure projects? One method is called tax increment financing. Essentially, it means banking on the increase in property tax revenue that will result when the project is finished. The government can “fund” a project by pointing to the revenue the project will generate once it’s… read more…
- 15 Things to Know Before Moving to Tennessee
Moving to Tennessee offers a unique blend of Southern charm, stunning natural landscapes, and vibrant city life, but there are a few things you should know before making the move. From the state’s low cost of living and no income tax to its unpredictable weather and deep-rooted country music culture, Tennessee has plenty to offer… read more…
- What Is the Homestead Tax Exemption?
The homestead tax exemption applies to property taxes. It’s generally a dollar amount or percentage of the property value that is excluded when calculating property taxes. The amount or percentage depends on the state, as does who is eligible for… read more…
- Understanding Agricultural Tax Exemptions
If you own a home, you’re no stranger to property taxes. There are property tax breaks for seniors, people with disabilities and other protected classes, but did you know that there are agricultural tax exemptions, too? If some of your… read more…
- What Is a Tax Amnesty?
A tax amnesty is an opportunity for people who owe back taxes to pay some or all of what they owe, often with some penalties and interest waived. In the U.S., tax amnesty often takes the form of a certain… read more…
- Tax Avoidance vs. Tax Evasion
What’s the difference between tax avoidance and tax evasion? One is legal and the other is not. Tax avoidance means using the legal means available to you to decrease your tax liability. Those means include deductions, credits and tax-advantage accounts. Tax evasion, on the other hand, means taking illegal steps to shrink or eliminate your… read more…
- All About IRS Form 8863
Taking higher education classes, whether in pursuit of a degree or to acquire additional professional skills, is something the government wants to encourage. To that end, the IRS offers tax credits for post-secondary education expenses. Two of those credits, the… read more…
- All About IRS Form 1040X
Did you make a mistake on your income tax return? Don’t sweat it – it happens. Whether you forgot about a tax deduction or credit or you need to include additional sources of income, you can fix those errors by… read more…
- All About IRS Form 1041: Tax Return for Estates and Trusts
If you’re designated the executor of someone’s estate, you may need to file Form 1041 to declare the income from that person’s estate (or hire someone to file the form for you). Form 1041 isn’t a substitute for Form 1040,… read more…
- All About IRS Form 2848
If you ever need ton resolve an issue with the IRS, whether or not it’s related to your federal income taxes, you will need to contact the IRS. That can be intimidating. You may not feel like you know enough… read more…
- What Is a Net Operating Loss (NOL)?
Many businesses don’t make any money, particularly during their first year of operation. When this happens, the IRS provides business owners with some tax relief in the form of something called a net operating loss (NOL). What follows is a… read more…
- Using the IRS2Go App to Track Your Tax Refund and More
Thanks to advances in technology, filing taxes isn’t nearly as complicated as it once was. Today, many tax filers complete their tax returns online or through apps. The IRS released its own mobile app in 2011. While you can’t use… read more…
- All About IRS Form 4562
Starting a business can be expensive. You’ll likely have to cover the cost of a building or office space, equipment, utilities and legal and accounting fees. Fortunately, business owners can recoup some of the money they’ve spent by deducting expenses… read more…
- All About IRS Form 5498
When you don’t have access to an employer-sponsored retirement account – like a 401(k) or a 403(b) – you can save for retirement by opening an IRA. Your contributions may be tax-deductible, meaning you can use them to lower your… read more…
- A Guide to Filling Out Form 8917
We all know that the cost of higher education is steep and getting steeper. If you’re not relying solely on student loans or grants and are instead paying some of your own money toward tuition and fees, you may be… read more…
- All About IRS Form 4868
Meeting deadlines can be tough, especially when you have a lot on your plate. If you won’t have time to file your federal 2022 income taxes by April 18, 2023, deadline, don’t worry. You can get a six-month extension to file,… read more…
- What You Need to Know About Taxes on Lawsuit Settlements
Representation in civil lawsuits doesn’t come cheap. In the best-case scenario, you’ll be awarded money at the end of either a trial or a settlement process. But before you blow your settlement, keep in mind that it may be taxable… read more…
- All About Taxes on Pensions
If you have a pension, consider yourself fortunate. Traditional defined benefit plans, such as pensions, have become increasingly rare, often replaced by defined contribution plans like 401(k)s. However, accessing your pension income in retirement isn’t entirely tax-free – some or all of it may be subject to taxation. Working with a financial advisor can help… read more…
- 5 Ways the Rich Can Avoid the Estate Tax
The idea of the estate tax, or death tax as it’s sometimes known, is scary for many Americans. However, the real truth is that the vast majority of people will never encounter it. That’s because the federal estate tax has… read more…
- Should There Be a Soda Tax?
Sin taxes are meant to dissuade people from participating in activities considered harmful to their health and well-being. Places around the country tax consumers for buying things like tobacco and alcohol and many people have debated whether it’s necessary to… read more…