For most, determining your tax filing status probably does not create a lot of question or confusion. But for others, it might not be so cut and dry. For most, whether you are married or unmarried at the end of the year is the determining factor. If marital status is a primary factor, when is […]
There are likely to be many questions related to the advanced child tax credit and the stimulus payments from January 2021. Following are some important details you’ll need as you get your tax return ready. Advance CTC letter 6419: In late December 2021, and continuing into January, the IRS started sending letters to people who […]
And we’re back. If you missed part one of 19 Ways to Save on Your Taxes, be sure to check it out here because that one is full of gripping details on how to save taxes. If you’re already up to speed, hold on to your hat but it’s about to get even more exciting, […]
After writing this title I was reminded of the seven-minute ab bit from There’s Something About Mary. Admittedly I chuckled and had an internal argument about not being able to get a good tax break with only 18 ways to save, and nobody has time for 20. And speaking of time, since this is a […]
Right now… Seriously though, modern tax software is very good, and many of them are reasonably priced, if not free. Most ask you all the right questions to fill in the blanks, get your tax return complete, filed, and a refund in your account, if that’s what’s coming for you. Many have audit protection or […]
Most of us are familiar with April 15th as the annual tax filing deadline. But there are some nuances. Last year, in response to Covid, the customary April 15th deadline was pushed back a month to May 17th. While the IRS could always do something similar in 2022, it’s best to plan for a mid-April deadline this […]
The U.S. uses a system called “progressive tax.” That means that the IRS has tax “brackets” with associated tax “rates.” These brackets correspond to various income levels. The higher your income, the higher your tax bracket, and thus your tax rate. If your income increases to where you get bumped into the next tax bracket, […]
Federal tax rates are not increasing in 2022, although many in Congress would like to enact several tax hikes. In fact, one could argue taxes are decreasing, since the amount of your income taxed at lower rates is increasing for 2022. While the top federal tax rate remains at 37% for 2022, the income necessary […]
In our current low interest rate environment, many people have decided to re-finance their mortgages. While this may be a great way to save some money on their monthly payments, many people worry about the tax consequences of re-financing. The good news is that for most people, there will not be any tax consequences. In […]