Usually… Yes. However, let’s see what the IRS has to say right now on this subject. I will highlight a few points below; but, you’ll have to read the Forbes article IRS Issues Tax Guidance On Discharged Student Loans (Jan 15, 2020) for the details. You should not report the amount of the discharged loan […]
Is There a Fairer Tax System for America?
I’ve been a certified tax preparer since 2003, and the tax code has done nothing but get more complicated for everyone, less favorable for the low and middle class, and is down right unfair to people who actually saved for retirement via any tax-deferred savings account. The extreme poor, who benefit from the taxes we […]
Early Withdrawal From Retirement Penalty – What Are the Exceptions?
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 […]
When Businesses Barter Is it Taxable Income?
Due to our slow moving economy, we’ve seen an increase in businesses bartering with one another. Bartering occurs when you exchange goods or services without exchanging money. An example of bartering is a plumber doing repair work for a dentist in exchange for dental services. – IRS Topic 420 So, is this exchange considered taxable […]
Question: How Can I raise Money to Start a Business with Poor Credit.
A young lady asked: Do you have any advice on how to raise money to start your business when you have poor credit? Many people responded, but I believe they failed to answer her actual question. They said things like: Consider the “Big Picture”. Write out your SMART Goal. Determine Roadblocks. Take Responsibility. Take Action. […]