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 […]
Don’t Fear IRS Form 1099-C
Perhaps the most feared and least understood document ever published by the IRS is Form 1099-C, Cancellation of Debt. Form 1099-C is sent to people who were so deep in debt, their creditors agreed to give them a break. They do this by either reducing or cancelling their debt altogether. Think foreclosures, short sales, credit card […]
Filing Taxes When Married to a Non-U.S. Citizen
Marriage can introduce complexity when it comes to filing taxes. When you’re married to a non-U.S. citizen, your tax situation may require additional consideration. In this article, we’ll explore the key factors to consider and offer guidance on how to navigate the U.S. tax system as a couple with mixed citizenship. Determine Your Filing Status […]
Do I Have to Report Tips on My Tax Return?
Tips, gratuities, or service charges – these additional payments to service workers are a common part of our daily lives. Whether you’re leaving a tip for your waiter, bartender, taxi driver, or hairdresser, it’s essential to know how these earnings should be handled from a tax perspective. The short answer is yes, you generally do […]
Are Military Benefits Taxable?
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 […]
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 […]