This is Part 1 of 2 in a series on the proposed Tax Cuts and Jobs Act. This part covers the provisions that apply to individual taxpayers. Part 2 covers the small-business provisions.
When borrowing money taxpayers often ask if the interest will be tax deductible. The answer to the question can be complicated and you’ll learn that not all interest you pay is deductible. The rules for deducting interest depend on whether you use the loan proceeds for personal, investment, or business purposes.
Many tax penalties are substantial and can significantly increase the amount you owe the IRS. Penalties can be assessed for various reasons, with some resulting from a taxpayer’s carelessness, overstatement of deductions, failing to report income, or procrastination.
The National Taxpayer Advocate (NTA) Nina Olson released her mid-year report to Congress. It presents a review of the 2017 filing season and identifies the top issues the Taxpayer Advocate Service (TAS) will address during the upcoming year.
Taxpayers wanting to make an IRA contribution for 2016, have until the unextended due date for filing their 2016 return, which is April 18, 2017. Contributing to an IRA has several benefits, the most important one being that you are saving for your retirement.
You may not always be required to pay back your debts in full. It is not wholly uncommon for a debt to be forgiven or otherwise discharged – a creditor may fail to collect, discontinue attempts to collect or outright forgive your debt for whatever reason – thus leading to a cancellation of the debt in the amount specified.
The Internal Revenue Service is continually updating its policies and protocols. Often, this occurs in response to problems. That said, it is important for taxpayers to keep up with suggested policy changes that could affect your situation.
Taxpayers have certain rights, both on the federal level, as well as on the state level. Unfortunately, when dealing with large bureaucracies like the IRS, it can be hard for the average individual to understand his or her rights and seek recourse or remedies in situations when those rights are not respected.
Making the decision to venture out on your own and work for yourself can be an exciting, yet frightening prospect. Nevertheless, it is important for those who are self-employed to know and understand the tax implications associated with such a decision.
Are you one of tens of thousands of Americans who employs a service provider in your home? Perhaps you have hired a nanny, babysitter, cook, maid, or a personal health care assistant.