The IRS has issued a warning about the latest phone scam. The caller claims to be from the IRS and tells the intended victims they owe taxes which must be paid immediately with a pre-paid debit card or wire transfer. Individuals who don’t pay up are threatened with arrest or loss of their business or driver’s license. Watch for these...
Tags: irs tax scams
Category: Taxes
The IRS recently announced that the mileage rate for business driving in 2014 will be 56¢ a mile, a slight decrease from the 2013 rate of 56.5¢ per mile. The rate can be used for cars, vans, pickups, and panel trucks. Companies that don’t want to keep track of the actual costs of using a vehicle for business purposes may...
Tags: Business mileage rate for 2014
Category: Taxes
Shedding unwanted pounds, recharging a golf score that’s stuck in neutral, nurturing a better relationship with your teenager – these resolutions and many more will appear on lists for 2014. Of course, some good intentions will fade before the flowers arrive on Valentine’s Day. But other decisions, if allowed to harden into habit, have the potential to greatly affect your...
Tags: financial resolutions
Category: Taxes
Your children may need to file a 2013 income tax return. A return is needed if wages exceeded $6,100, the child had self-employment income over $400, or investment income exceeded $1,000. If the child had both wages and investment income, other thresholds apply. Contact us for more information or filing assistance.
Tags: children filing requirements
Category: Taxes
Child tax credit. The child tax credit applies if your dependent children were age 16 or younger at the end of 2013. The basic credit is $1,000 per child, though the amount you can claim may be less when you file a joint return and your income is more than $110,000 ($75,000 for other parents). You may also qualify for...
Tags: Child tax credit
Category: Taxes
What’s your alternative minimum tax (AMT) preference? Though you might prefer to not think about the AMT, certain income and deductions, known as preference items, affect the way the tax will apply to you. Those amounts, along with others called “adjustments,” are added to or subtracted from the income shown on your tax return to arrive at your AMT taxable...
As you review your filing requirements for 2013, make sure you don’t overlook the so-called “nanny tax.” If you have a household employee, you could be liable to pay state and federal payroll taxes. First, you must determine whether you have a household employee. Generally, this is someone you hire to work in or around your house. It could be...
Early this year, review the amount of income tax you’re having withheld from your wages to see if it should be adjusted. While you must meet minimum tax payment requirements, don’t overwithhold or you’ll be giving the IRS interest-free use of your money for a year. Don’t underwithhold either, or you face penalty and interest charges on the underpayment. Call...
Tags: withholding
Category: Taxes
Fire, flood, tornado. Violent weather can wreak emotional and financial havoc. If your home, vehicle, or other personal property is damaged or destroyed by a sudden, unexpected casualty, an itemized tax deduction may help ease the financial burden. In most cases, you claim a casualty loss in the taxable year the calamity strikes. However, if you’re in a presidentially declared...
Tags: disaster tax consequences
Category: Taxes
There are many worthwhile reasons to lend money to a relative. For example, you may want to help a child or sibling continue their education or start their own business. But lending money to relatives can have tax consequences. The IRS requires that a minimum rate of interest be charged on loans. If you do not charge at least the...
Tags: lending money relatives
Category: Taxes