Required Minimum Distributions (RMD) are required taxable distributions from qualified retirement plans and are commonly associated with traditional IRAs, but they also apply to 401(k)s and SEP IRAs. The tax code does not allow taxpayers to indefinitely keep funds in their qualified retirement plans. More
While the majority of Americans get a tax refund each year, there are many who owe tax and some who can’t pay what they owe all at once. If you find yourself in the position of owing taxes, there are a number of ways to deal with the issue:
Get a Loan to Pay the Balance – If you owe the IRS and don’t pay on time, they will assess interest and penalties. More
Who's an Employee of the Corporation? Generally, an officer of a corporation is an employee of the corporation.
Treasury regulations provide an exception for an officer of a corporation who does not perform any services or who performs only minor services and who neither receives nor is entitled to receive, directly or indirectly, any remuneration. More
This year, one of the biggest tax changes is the zero tax rate on long-term capital gains and qualified dividends for those who are normally in the 10% or 15% regular income tax brackets. Single taxpayers whose 2008 taxable income falls under $32,551 and marrieds with income under $65,101 meet the requirements.
Steven C. More
Will wedding bells be ringing for you or a family member this summer? If so, add tax updating to the long list of things to do. Here are some of the tax concerns newlyweds need to take care of. Check the effect marriage will have on your tax bill. If both spouses work and earn about the same income, you may pay higher taxes due to the "marriage penalty." Steven C. More
Congress often rushes to pass legislation just before adjourning for a holiday or recessing for the year, and 2007 was no exception. One of these last-minute bills was the "Mortgage Forgiveness Debt Relief Act of 2007," which President Bush signed into law on December 20. The amount of debt forgiven reduces the tax basis in the home. Steven C. More
Donating property to charity can be a good way for you to help the less fortunate while you cut your own tax bill. Be aware of the advantages and disadvantages of donating property to charity. Here are some suggestions if you're planning to donate property. If the property has declined in value since you bought it, sell the property and donate the cash to charity. Steven C. More
Taxes are on the agenda in Washington Congress is back in session following its August recess, and taxes are on the fall agenda. A variety of energy tax provisions. Either outright repeal of the alternative minimum tax or a temporary fix to keep the tax from affecting an estimated 23 million taxpayers in 2007. Extension of the tax cuts created in 2001, 2002, and 2003 tax legislation. More
Do your children have savings accounts or other investments held in their own name? If so, the tax on those investments could change. That's because recent tax legislation will expand the "kiddie tax" to cover children up to age 19 starting in 2008. For full-time students, the age limit will be even higher - up to age 24. Prior to 2006, the kiddie tax applied up to age 14. Steven C. More