Military service members receive various benefits and compensation packages from the government to support them and their families. That said, one common question that often arises is whether these military benefits are taxable. The answer isn’t always straightforward, as it depends on the specific benefit and various other factors. In this article, we will explore […]
Ask Phil: Marriage & Taxes: Am I Liable?
Today, Optima Tax Relief’s Lead Tax Attorney, Phil Hwang, discusses marriage and taxes, including filing status options. Married couples have two different options for filing their taxes: married filing jointly and married filing separately. If you choose to file jointly with your spouse, you will both be jointly and severally liable for the full tax […]
How to Choose a Tax Professional
Tax season can be a stressful time for many individuals and businesses. Navigating the complex world of tax regulations, deductions, and credits can be overwhelming, and the consequences of making mistakes can be costly. That’s why many people turn to tax professionals for assistance. Choosing the right tax professional is crucial to ensure your financial […]
How to Secure Your Financial and Tax Documents
Tax and financial documents are some of the most sensitive and valuable records you possess. They contain critical information about your income, assets, and financial history, making them prime targets for identity thieves and fraudsters. Protecting these documents is not only essential for your financial well-being but also for safeguarding your personal information. In this […]
What You Need to Know About Hiring Your Kids for Work
As a parent, you may be looking for opportunities to teach your children valuable life lessons, including those related to money and work ethic. One unique way to do this is by hiring your kids for work within your family business or household. Not only can this provide your children with valuable skills and experience, […]
Federal Tax Treatment of LLCs
Starting a business can be an exciting venture, but it also comes with numerous financial and legal considerations. One crucial aspect that entrepreneurs must understand is taxation. Limited Liability Companies (LLCs) have gained popularity as a business structure due to their flexibility and liability protection. However, the taxation of an LLC can be a bit […]
Ask Phil: Do I Qualify for the Employee Retention Credit?
Today, Optima Tax Relief’s Lead Tax Attorney, Phil Hwang, discusses the Employee Retention Credit (ERC), including the rise in scams surrounding the credit. The ERC is a tax credit that provides financial relief to businesses that have experienced economic hardships due to COVID-19. It encourages employers to retain their employees on payroll by offering a […]
How Are Trusts Taxed?
Trusts play a crucial role in estate planning and wealth management, allowing individuals to protect and distribute their assets according to their wishes. However, navigating the complex landscape of trust taxation can be daunting. In this article, we will break down the intricacies of how trusts are taxed, helping you gain a better understanding of […]
Optima Newsletter – September 2023
Zelle and Taxes: Will I Receive a 1099-K? Beginning in tax year 2023, you will receive a1099-K if you receive more than $600 in aggregate payments through a payment app or online marketplace. These can include Venmo, PayPal, Etsy, eBay, Cash App, Square, Facebook, Amazon, Shopify, and others. However, there is one payment app that […]
Child Care Tax Breaks You Should Know
Raising a child comes with its fair share of expenses. Fortunately, the federal government recognizes the financial strain that parenting can put on families. With that, they offer child care tax breaks to help ease the burden. In this article, we will explore what child care tax breaks are, how they work, and how you […]