For the most part, any person who withdraws funds from his or her tax-deferred 401k or IRA account before reaching age 59 1/2 will end up paying 40% or more in income taxes and penalties. You may ask the financial institution to withhold taxes, and they will do so, but only up to a certain […]
The IRS Actually Lost???
According to this Forbes article published on 1/19/2013, the IRS actually lost it’s case brought on by three independent tax preparers Sabina Loving of Chicago, Illinois, John Gambino of Hoboken, N.J., and Elmer Kilian of Eagle, Wisconsin. The article titled “IRS Stopped ‘Dead In Its Tracks’ In Efforts To Regulate Tax Preparers” explains how the […]
The 2011 TAX DEADLINE is almost here!
Hello Clients! This year’s tax deadline is April 17th and that’s just 12 days away. If you’ would like your income taxes prepared and/or finalized by this deadline please get your information to me by April 13th. You can send your information via fax, email, or mail. You may also make an appointment to meet […]
2011 Minimum Income Requirements to File a Federal Income Tax Return
Wondering if you HAVE TO file taxes this year? Take a look at the chart below. Find your tax filing status and then cross reference it with the income you received from all sources in 2011. These figures only apply to people who are NOT being claimed as someone’s dependent. Read my blog “Should She […]
1099-Misc: Other Income vs. Nonemployee Compensation
One of my small business clients received a form 1099-misc from one of her customers for whom she’d performed a business service. The customer unknowingly reported the income using box 3: “Other Income” when she should have reported it in box 7: “Nonemployee Compensation”. So what’s the difference? One is for payment for services performed, […]