Life can be challenging when facing both financial difficulties and health issues. Many taxpayers ask themselves, “Can I get disability if I owe back taxes?” For individuals experiencing a debilitating condition while also owing back taxes, the situation can seem overwhelming. However, it’s essential to know that there are options available to help ease the […]
Ask Phil: The 411 on the Most Common Tax Forms
Today, Optima Tax Relief’s Lead Tax Attorney, Phil Hwang, discusses the most common tax forms every taxpayer should know about. Tax Form 1040 or 1040-X The well-known U.S. Individual Income Tax Return, Form 1040 is what you will use to report both your income and deductions to determine your tax liability every tax year. Form […]
What’s Going on with Social Security?
Social Security, a cornerstone of America’s safety net, has been providing financial support to millions of retirees, disabled individuals, and surviving family members for decades. However, as our society undergoes demographic shifts and economic challenges, it has become increasingly evident that the current system requires substantial reform to remain viable for future generations. So, what’s […]
What is a W-9 Form?
Whether you are a small business owner hiring independent contractors or a freelancer seeking work opportunities, the W-9 form plays a crucial role in the world of taxes. The IRS uses this form to gather essential information about independent contractors, consultants, and freelancers who provide services to businesses. In this article, we will delve into […]
Are Canceled Liabilities Taxable?
Dealing with debt can be a stressful and overwhelming experience. Imagine, though, finally having a weight lifted off your shoulders when a creditor cancels or forgives a portion of your outstanding debt. While the relief might be immense, it’s essential to understand that canceled debt can have significant tax implications. Many individuals are unaware that […]
Ask Phil: Top Tips to Avoid IRS Audits
Today, Optima Tax Relief’s Lead Tax Attorney, Phil Hwang, discusses his 5 top tips for how to avoid an IRS audit. File Your Taxes: Some taxpayers don’t file because they think they don’t have to. The minimum requirement to file a tax return depends on your filing status and income, but generally most U.S. citizens […]
Optima Newsletter – July 2023
Am I Responsible for My Spouse’s Back Taxes? Marriage is viewed as a union of two individuals, joining both their lives and responsibilities. As financial obligations and responsibilities intertwine, questions arise about whether one spouse is accountable for the other’s past tax liabilities. In this article, we will delve into the concept of spousal responsibility […]
What to Know About Schedule H: Household Employment Taxes
If you have anyone doing work around your home, it’s possible they may be considered household employees. Consequently, you’ll have some additional responsibilities at tax time, including filing a Schedule H. Schedule H reports household employment taxes to the IRS. Here’s an overview of Schedule H. What is Schedule H? Schedule H, Household Employment Taxes, […]
Tax Tips for Resident and Non-Resident Aliens: Part 2
When it comes to filing taxes as a resident or non-resident alien, the first step is determining your alien status for tax purposes. If you satisfy the requirements of either the IRS green card test or the substantial presence test, you will be considered a resident alien for tax purposes. If you cannot meet the […]
Tax Tips for Resident and Non-Resident Aliens: Part 1
Did you know you are required to pay taxes on your income even if you are not an American citizen? The same is true even if you spend some of your time abroad. One important thing to note, however, is the way you are taxed is determined by your alien status. In other words, resident […]