Category Archives: General

Are you planning for retirement by saving now? While you probably know that it’s a smart investment in your future, you may not be aware that retirement savings can net you some extra benefits at tax time. Retirement savings can positively affect your tax situation, though you are still responsible for any penalties or fees […]

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If Social Security or Railroad Retirement Benefits are your entire source of income for the tax year, you may not have to file a tax return. Even if you received any other form of income, your benefits are typically tax-free as long as your modified adjusted gross income (MAGI) is more than the base level […]

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Alimony and the IRS

August 25, 2015

If you pay alimony as part of a divorce or separation agreement, you need to know how it will affect your taxes. In order for payments to be considered alimony, they must meet seven requirements: You can’t file a joint return with your former partner You pay via cash, check, or money order The payment […]

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Does someone owe you money? Are you afraid you’ll never see it again, primarily because you have no way to collect the funds? You’re faced with “Bad Debt”. Don’t worry though, you are able to deduct bad debt at tax time, as long as you have previously included the amount in your income. You had […]

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Having outstanding debt can hurt you in a variety of ways. Debt is defined as any amounts owed for property or services, whether you are personally liable or there is property securing the amount of the debt. If debt is secured by property and is canceled, whether fully or partially, as a result of foreclosure, […]

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Having some way to help pay for college expenses can make the whole process a lot easier. Scholarships, grants, and fellowships are a great way to make payment easier. Scholarships and grants are generally paid to a student for a specific school or institution. Fellowships are similar, although money can be used for study and […]

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So you chose an individual retirement arrangement (IRA) to save for your future. This choice can be beneficial at tax time, as contributions to a traditional IRA may be deductible at tax time. There are several different types of IRA plans, including a traditional and Roth IRA, and are set up through a financial institution, […]

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All retirement compensation plans are required to follow the rules enacted in 1974 by the Employee Retirement Income Security Act (ERISA) in order to be considered “qualified” by the IRS at tax time. Generally, most 401(k) plans meet these requirements and is considered a qualifying plan as far as your taxes are concerned. Your employer […]

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Even casual gambling can impact you at tax time. Don’t take the risk and forget to report any winnings from gaming on your tax return. Money you win is completely taxable and needs to be included at tax time. Lotteries, raffles, casino revenue, and money from horse races are all considered gambling winnings, as well […]

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If you have income from investments you might notice a new tax. If you have regular income over a certain level and you receive investment income you may be responsible to pay this new tax, known as the Net Investment Income Tax. You will want to know a few basic rules about the new NIIT […]

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