Every year, I bring my documents to my accountant and he prepares my taxes. This year, he told me that there has been increase in the number of people that bring their returns to professional tax preparers. The IRS reports that around 60 percent of taxpayers turn to professionals when preparing and filing their returns.
The 2014 tax season is underway, and the IRS has released some statistics that show how things are progressing this season.
One of the realities of our tax system is that reporting is largely voluntary. You are required by law to pay taxes, but, for the most part, the system relies on the fact that you are honest in your reporting. You voluntary report your income, and then pay on that amount.
Starting in 2014, the individual mandate for health insurance coverage is in effect. Unless you meet the exemptions put forth by the government, you are expected to have minimal insurance coverage. For those who already have coverage through work, or through a government program like Medicaid or Medicare, the individual mandate doesn't change much.
One of the biggest stories of the new year is that Colorado started allowing the sale of marijuana for recreational purposes on January 1, 2014. There are a number of states that allow the sale of marijuana for medical use, but only Washington and Colorado allow it for recreational use.
When it comes to donating to charity, it's important to understand whether or not you are actually making a tax-deductible contribution.
With tax season ramping up, it's important to be aware of the possibility of identity theft. There is a very real threat of identity theft any time of the year, but you want to be especially careful during tax time, since fraudsters can steal your identity and then claim tax refunds in your name.
Tax season 2014 is underway, which means you should be gathering your documentation and getting ready to file your tax return for 2013. The year 2013 brought a few changes, which means your taxes are likely to look a little different this year.
The IRS will start accepting tax returns on January 31, 2014, and you need to start preparing, since you might be affected by the following changes:
It's rarely fun to go through a divorce. The financial implications that come with divorce can be challenging enough to deal with, without the addition of tax issues. However, the unfortunate reality is that divorce comes with its own set of tax considerations.
Now that the year is quickly drawing to a close, it’s time to double-check your tax strategy, and figure out if there are any last-minute tax moves you should be making.
Before you finalize your financial year, here are 4 questions to ask your tax professional:
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