The structure of modern families is changing. One of the most common developments is joint custody, where divorced or separated parents share the responsibilities of raising their children. This arrangement not only has a profound impact on the well-being of the children but also extends to various aspects of the parents’ lives, including their finances. In this […]
Ask Phil: Will Bankruptcy Discharge My Tax Debt?
Today, Optima Tax Relief’s Lead Tax Attorney, Phil Hwang, discusses bankruptcy, including if and when tax debt is discharged. When you file for bankruptcy, you are relieved from most of your debts, including credit card debt, medical bills, payday loans, utility bills, car loans, mortgages, and more. Many taxpayers want to know if bankruptcies also […]
How Wash Sales Affect Your Taxes
Taxes are an inevitable part of financial life, and for investors, understanding how different transactions can impact their tax liability is crucial. One such transaction is a wash sale. Wash sales can have a significant effect on taxes. Investors should be well-versed in the rules and implications of these transactions to avoid costly mistakes. In […]
IRS Interest Rate Increases for Q4 2023
As the fourth quarter of 2023 unfolds, taxpayers across the U.S are faced with an important development – an increase in IRS interest rates. The IRS periodically adjusts its interest rates, and these changes can have significant implications for individuals and businesses. In this article, we will explore the reasons behind the IRS interest rate […]
What You Need to Know About Underpayment of Tax Penalties
Taxes are an essential part of a functioning society, providing the government with the necessary funds to provide public services and support various programs. However, when it comes to paying taxes, many individuals and businesses may find themselves making mistakes or underestimating their obligations. This can lead to tax underpayment, a situation that often incurs […]