There are many reasons why the Internal Revenue Service could be contacting you. Some contacts involve very minor corrections; some are for serious changes that could involve a lot of money. Sometimes the IRS is correct in what they are seeking; sometimes they are wrong. An IRS notice can be something as simple as a correction to a social security...
Did you know that any amount of canceled debt is typically taxed as ordinary income? If you receive debt forgiveness for home, car or student loans, or credit card interest and debt, you may create a tax liability. There are some exceptions, like when debt is forgiven as part of a Chapter 11 bankruptcy, or when a person’s total debt...
Tags: forgiveness of debt
Category: Taxes
Year after year, health care and medical insurance costs outpace inflation. It’s little wonder, therefore, that business owners and employees are scrambling for ways to curtail health care expenses. One option worth considering is a health savings account or HSA. * How HSAs work. An HSA works in tandem with a high-deductible health plan (HDHP). You sign up for an...
Tags: Health Savings Accounts
Category: Taxes
Financial records are notorious for being messy. Bills, paycheck stubs, tax returns and bank statements have a way of getting tucked into random places. Luckily, there are a few pretty painless ways to organize your important documents in order to save time at tax time and manage recordkeeping costs. Put all your financial records in one dedicated spot To ensure...
Tags: financial records
Category: Taxes