Secured with SHA-256 Encryption
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
A taxable year is the 12-month time period that the IRS defines for each person’s tax season. In most cases, the taxable year is the regular calendar year, starting in January and ending in December. However, a taxable year under IRS rules does not necessarily have to be a regular calendar year.
→ Read MoreExclusions from gross income tax are only those provided by statute including most proceeds from life insurance contracts, most damages received for personal injuries, and gifts or inheritances. In order to understand all the available exclusions from gross income tax in your state, contact local income tax attorney.
→ Read MoreIn general, the IRS is only interested in value retained from sales or services. If the sale or service you are involved in does not result in any gain to you and is the result of the mere change of the form of an investment, then it is nontaxable. This status of certain investments is conferred by what are called non-recognition provisions that occur throughout the tax code.
→ Read MoreIf your silent partner in your corporation has mismanaged corporate funds, the funds you invest in the corporation may be used to pay unpaid taxes from periods in which you held stock in the corporation. If you are aware of errors in accounting or tax payments in a corporation in which you hold stock, contact an experienced business attorney immediately.
→ Read MoreTaxable income is calculated by starting with gross income, subtracting excluded income and exemptions (removed in 2018), and subtracting allowable deductions. In determining what items of income and deductions should be taken into account for any taxable year, the taxpayer’s method of accounting must be taken into account. For almost all individuals, that method is the cash receipts and disbursement method. In other words, income has to be received and deductions have to be spent. Some business activities can use other methods of accounting, and if you think that might apply to you, consult with a tax adviser or accountant.
→ Read MoreSummer is here and the economy continues to be on nearly everyone’s mind. Unemployment numbers are not pretty, especially for teens and students who used to rely on summer jobs to pick up some cash for school and savings. But for teens lucky enough to find a summer job, or for parents trying to think creatively about how they can translate their needs into summer work for their children, paying attention to some of the tax breaks for young people offered by the IRS can make a big difference next April, and even possibly inspire some new ideas about summer jobs that might be advantageous to both employee and employer.
→ Read MoreFor tax years before 2006, you must be in full compliance will all filing and payment requirements before completing an application for OIC. This means that you must have had filed your returns on time and if any taxes were owed in the past, payments were made on time.
→ Read MoreA single member LLC is viewed under the same conditions as a sole proprietorship for the purposes of taxes. LLC’s with two or more members are viewed as a partnership. As with any business, the business owner does not withhold employment taxes from his earnings to account for employment taxes. Because of this, LLC members must pay self-employment taxes. Silent members are not considered self-employed by the company, so they owe no self-employment taxes, regardless of owning a share. However, silent members are responsible for paying income taxes on any share distributions that they do receive from the company.
→ Read MoreA family member who voluntarily forgives a loan over $14,000 is considered to be gifting the value of the loan to the recipient. There are no tax consequences to the borrower of the money if the lender (family member) forgives the loan. However, if the lender was charging interest and the borrower defaulted on the loan then the borrower will experience tax consequences.
→ Read MoreExplanation of how to save income tax by giving income-producing property as a gift to family members.
→ Read MoreFind the right lawyer for your legal issue.
Secured with SHA-256 Encryption
