The IRS calculates tax deductions and credits differently, and the impact on your return can vary. A tax credit reduces your tax liability dollar for dollar. A tax deduction reduces your taxable income.
It may be obvious to everyday taxpayers that they must report their wages, but few likely realize the feds also expect a cut of their profits from more under-the-radar ways of accruing income.
The IRS made annual inflation adjustments for dozens of tax provisions, including the federal income tax brackets for 2023, which may affect next year’s taxes, experts say.
The stimulus relief authorized by the American Rescue Plan Act that the IRS explained is still available in 2022 relates to a specific kind of tax credit that was expanded by the COVID-19 legislation. Taxpayers may still qualify for temporarily expanded eligibility of the Premium Tax Credit.
With tax deadline day only weeks away, Americans are working away at their IRS returns and facing all the usual difficulties. As with any learning experience, a good way to gain insider knowledge of taxes and filing is to ask a trusted accountant or other tax specialists. Before filing taxes and risking negative outcomes, you can get ahead of the problem by asking a professional some critical questions.
By migrating some or all of your retirement funds into a Roth IRA, you can access your money sooner. By using conversion ladders, money can be accessed penalty-free before the traditional withdrawal age of 59 1/2.. CLICK ON THE HEADLINE FOR MORE
Before you file, you’ll want to be aware of any changes for the 2023 tax season. Experts warn that there are a few key deductions you can’t take this year—which could affect what your refund adds up to. There are also a few updates to tax credits as well. CLICK ON THE HEADLINE FOR MORE
On Tuesday, Jan. 31st, the Bureau of Labor Statistics released the monthly employment cost index summary. Although employment cost growth is slowing, it’s likely not doing so fast enough for the Fed. CLICK ON THE HEADLINE FOR MORE
Information was revealed through a recent warning issued by the IRS on January 24 that reminded taxpayers they have to report “digital asset-related income.” Additionally, filers must give a response to a new digital asset question on their 2022 federal income tax return. A penalty or even a delay in refunds could result by not answering. CLICK ON THE HEADLINE FOR MORE
Millions of Americans are starting to get their bills and tax filings ready so they don’t find themselves rushing in the last few days before the deadline, especially if they’re looking to receive a tax refund. However, waiting for the refund can be a hassle. Fortunately there’s a few things that a taxpayer can do to speed up the process. CLICK ON THE HEADLINE FOR MORE