When you file your taxes, you are going to notice that there is a figure known as you adjusted gross income or AGI. Knowing what the adjusted gross income definition is, and how it impacts your taxes, is important toward filing an accurate return and getting all the money back that you are potentially entitled […]
Determine your tax filing status. Tax brackets and available credits and deductions (either the standard deduction or itemized deductions) depend on a taxpayer’s filing status. Each taxpayer must select his/her filing status at the top of each tax return. In most cases only one tax filing status will apply to you. If you qualify under […]
What is an 8917 Form? Form 8917 is used to claim a tuition & fees deduction and is filed with your 1040. The deduction can be up to $4,000 (depending on income and expense amounts) and is based on qualified education expenses paid to an eligible post secondary educational institution. Am I Eligible to Use […]
Have you filed a bankruptcy in the last tax year? In a bankruptcy, debt is discharged, cancelled, or forgiven, and this can have tax implications because it is viewed by the IRS as taxable income to you (Cancellation of Debt Income or CODI). Bankruptcy and Tax Common types of debt that are discharged include automobile […]
Form 1040EZ is one of three forms used to fill out federal income tax returns. You can either fill out form 1040, 1040A, or the easiest of the forms, 1040EZ. What is Form 1040EZ? This form is an alternative to the other forms and is a faster option. This form is most likely acceptable for […]
There are many reasons that you could need a copy or a transcript of a past tax return. Perhaps you are taking advantage of low mortgage rates and applying for a loan or mortgage and need to prove your income from past years. Or if you are applying for college, or refinancing your home you […]
What is the Child Tax Credit? The Child Tax Credit is a tax credit you can claim for each child depending on your income. You may be able to claim up to $1,000 per qualifying child under 17 years old. This tax credit can be claimed in addition to credit for child dependent care expenses. […]
Congress passed the fiscal cliff deal last night. As part of the deal most of the Bush tax cuts set to expire at the end of 2012 will remain in place for people earning less than $400,000 ($450,000 for couples). If you earn over those amounts in 2013, your tax rates will go up. Also […]
I previously wrote about the upcoming fiscal cliff and highlighted many of the issues that the media was not focusing on that could have a big impact on many Americans should we go over the fiscal cliff. Today, I wanted to go more in depth regarding one area of tax law that could be changing […]
Update: There will be new delays for 2013 tax returns (due in 2014). See the current IRS filing delays for more information. Are you planning to file your 2012 tax return early and worry about getting your refund? Yes, there will likely be tax refund delays again this year. Because of the delays in resolving […]
