Posted by John on February 2nd, 2010
Before you guffaw and navigate away, listen to this: the list below is created from the IRS’s list of most common (and sometimes, expensive) yearly filing mistakes. Our list is meant to be a simple catalog of things to double-check before you lick the stamp or mouse-over the “send” button on your tax filing.
If your eyes are straining from rolling too much, we suggest you simply bookmark this page for the final seconds prior to your sending off for your return. Why?
The IRS charges 6% interest and up to a 20% penalty for incorrect filings. A double-check can save you tons of time, and possibly, tons of money.
- Did you include your W-2?
Obviously this won’t be a problem for e-filings, but for our snailmail brothers and sisters, it’s one of the most-repeated mistakes.
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Tags: checklist, filing, irs, Tax Credits, tax forms, tax return, taxes
Category: Uncategorized, taxes
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Posted by John on February 1st, 2010
In a trend that surprises no one, tax payers are making critical errors with a new tax form.
The Schedule M form is for anyone needing to account for the Making Work Pay credit or retirees who got the free $250 from the government last year. The Making Work Pay credit comes from the February 2009 stimulus package, which stated that working taxpayers can get up to a $400 benefit.
This benefit was automatically adjusted in the witholdings of most Americans’ paychecks; your “benefit” should’ve resulted in a slight increase in your take-home pay. If you’re a self-employed employee, however, you likely didn’t see a dime of it. You’ll need to file a schedule M, and there’ve been more than a few mistakes.
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Tags: errors, filing, irs, making work pay, schedule m, stimulus package, tax return
Category: Uncategorized
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Posted by John on January 22nd, 2010
Before you pay someone to do your taxes for you here’s some federal income tax advice to remember before you pull the trigger.
Tags: electronic filing, federal income tax advice, federal return, tax preparer
Category: Uncategorized
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Posted by John on January 13th, 2010
It’s rare that an individual wins a victory against the IRS.
Rarer still is a landmark victory that could mean thousands in deductions for others.
But that’s exactly the double-feat nurse Lori Singleton-Clarke accomplished, winning a ruling that her nearly $15,000 in business school deductions were legitimate. This judgment makes it easier for other professionals to claim from an MBA tax deduction. Read the rest of this entry »
Tags: mba tax deduction, mba tuition tax deduction, tax credit
Category: Tax Credits
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Posted by John on January 12th, 2010
While nationalized healthcare continues to be this young decade’s political event, there are still those of us who, whether self-employed or who work for businesses that don’t offer healthcare, pay for our own healthcare. Here’s some tax tips for we brave souls on the frontier of the healthcare debate. Read the rest of this entry »
Tags: employee benefits taxes, health insurance premium tax deductibility, health insurance taxes
Category: taxes
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Posted by John on December 28th, 2009
If you’re confused about the First Time Homebuyers’ Tax Credit, you’re not alone. Months after it was enacted, this tax credit is still causing taxpayers trouble. It’s not just the long delays—not just the constantly changing rules—not just the extra work on top of the already complex process of buying a new home. No, the big problem with the first time home buyer’s credit is all the new forms you have to deal with.
Here’s a quick list of the more common ones: where you get them, what you do with them, and what to watch out for.
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Tags: 1040, 5405, CP21B, Deed, first time home buyer tax credit, HUD1, Tax Credits, taxes
Category: Tax Credits
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Posted by John on December 15th, 2009
Planning on buying a new car? Now might be the best time. The American Reinvestment and Recovery Act, commonly known as the Federal Stimulus Bill, provides some enticing incentives for purchasers of new cars and several other types of motor vehicles. The incentive is in the form of a tax deduction on your 2009 tax return. The initial form of the legislation provided for a tax credit, but the final legislation that was passed made it into a tax deduction. Depending on your income level and the vehicle you are planning to buy, this benefit could yield a fair chunk of change in your pocket.
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Tags: cars, new car tax deduction, stimulus, taxes
Category: Tax Credits
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Posted by John on August 27th, 2009
For many taxpayers, the 2008 tax deadline was on April 15th, 2009. But for taxpayers who filed a 2008 extension, there’s another deadline looming: they need their returns filed by October 15th, 2009. A few steps they can take to make sure everything goes well: Read the rest of this entry »
Tags: 2008 extension form, 2008 tax extension form, tax extension form
Category: Tax News
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Posted by John on August 24th, 2009
The American Recovery and Reinvestment Act was designed to get the economy moving again by getting people to spend money. It’s off to a slow start, because most of what the plan calls for is new spending: new infrastructure projects, new subsidies for alternative fuels, new educational stimulus money, and more local handouts. But there’s already a “stimulus” plan in place that can handle all that, and more! Read the rest of this entry »
Tags: federal earned income tax credit, stimulus, Tax Credits
Category: Tax Credits
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Posted by John on August 18th, 2009
2008 tax return numbers just aren’t looking good for the government. Year over year revenue has dropped catastrophically, even as spending is up. So how are they making up the shortfall? There’s been some tentative talk of cost-cutting and income tax hikes, but there are some unusual plans that are also in the works:
Via Phillip on Flickr.
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Tags: irs, swiss banks, taxes, trading
Category: Tax News
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