Unemployment Compensation
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The Internal Revenue Service (IRS) is helping unemployed workers out a bit. While all unemployment compensation received in 2008 is taxable, the first $2,400 in unemployment that each taxpayer receives is not subject to federal taxes. If both spouses are unemployed, each spouse can deduct the first $2,400 of unemployment compensation they received during the [...]
Have you tried e-file?
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Tax time is quickly approaching. While many people dread this time of year, it isn’t that scary if you know what you are doing. One way to make tax time less scary is to prepare your taxes with software. There are plenty of great softwares available that will walk you through the steps to prepare [...]
Where are your records?
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Tax time is rolling around again so what can you do now to ensure a less painful tax preparation this year? The easiest thing to do is keep a record of your transactions. Sounds easy but we all forget to save those receipts or print out those statements. What records and receipts should you be [...]
Tis the Season to Save . . . On Taxes!
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Everyone hates paying taxes. We all accept it as inevitable but look for ways to reduce our tax liability. Luckily for us, the IRS offers incentives in the form of tax deductions. Some common deductions include charitable contributions, interest on your home mortgage, and interest on your student loans. While you may have no control [...]
Who is an employee?
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When starting a business, there are many questions you need to ask yourself. One that you probably haven’t thought about is who is an employee of the business. It is important to know who the IRS considers an employee because the business needs to pay payroll taxes on all income that individual earns as well [...]
Preparing for Tax Season
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After being laid off during these difficult times, many Americans have started their own small businesses. Now that the year is over half over, these small businesses need to start thinking about their upcoming tax returns. Today we will be focusing on proper documentation of expenses. Most expenses that businesses deduct from their income need [...]