Is the IRS Coming for Your Gambling Winnings?
Is the IRS Coming for Your Gambling Winnings? by Kate Schubel, Kiplinger Personal Finance The latest tax audit on unreported income points to high-income, high-wealth gamblers. Could that be you? A new report is shining light on a problem at the IRS that could impact millions of those who enjoy gambling: a huge gap in […]
How to Write Off Gambling Losses on Your 2024 Tax Return
How to Write Off Gambling Losses on Your 2024 Tax Return Gambling comes with wins and losses—and it’s a good idea to keep track of both. According to IRS rules, gambling wins are taxable and must be listed on your tax return. If you have a winning year, you’ll pay extra taxes. But there is […]
6 Ways to Lower Taxes in Retirement
6 Ways to Lower Taxes in Retirement Entering retirement brings many changes, but freedom from taxes isn’t one of them. You’ll still have to pay your debt to Uncle Sam every year. However, while you may not be able to avoid the bill, thoughtful planning can lower the expense. Here are six ways to lower […]
Tax Breaks for Homeowners
Being a homeowner comes with numerous benefits, including potential tax breaks. If these itemized deductions add up to more than the standard deduction, you can save a lot of money. Here’s a list of six common deductions homeowners should know about. 1. Home Equity Loan Interest Did you take out a home equity loan or […]
What You Need to Know About Marginal vs. Effective Tax Rates
Do you know your effective tax rate for 2024? What about your marginal rate? Don’t worry if the answer is no—you’re not alone. The difference between effective and marginal tax rates can be a little confusing, especially if you’re used to receiving a tax refund instead of a bill. Put simply, your effective tax rate […]
Here Are the 2024 Tax Brackets and Federal Income Tax Rates
In the U.S., your tax bill rises with your income. There are currently seven tax brackets that you might fall into: 10%, 12%, 22%, 24%, 32%, 35% and 37%. Each bracket applies to a different taxable income threshold, and the corresponding percentages represent the tax rate you’ll pay on that portion of your income. Here’s […]
Taxpayer Relief: IRS Waives Penalties on 2020 and 2021 Tax Returns
If you didn’t pay taxes on time in 2020 and 2021, the IRS has good news. You don’t have to pay normal penalties. Why? Because the pandemic disrupted so many routines. Here’s what you need to know. Background Millions of businesses, including the IRS, ceased or limited their operations during the COVID-19 pandemic. While lockdowns […]
6 Tax Deductions for Sole Proprietors
Sole proprietorships represent 81% of small businesses in the U.S. If you belong to the club, you know working for yourself comes with advantages like flexibility and greater control of your future. However, not having a boss also means a bigger bill on tax day. Luckily, numerous tax deductions can help save you money. Here […]
What Happens If You Misclassify Employees as Independent Contractors?
Let’s say you hire a freelance graphic designer to create your logo. Their work is fantastic, and you give them so many additional projects they eventually decide to work exclusively for your company. Is this graphic designer still a contractor? The answer might be no. If you control the workday, the designer has now become […]
How Will the 2024 Independent Contractor Final Rule Affect Your Business
Whether you make a deal with a landscaper or work with an independent graphic designer, hiring freelancers is extremely common. However, in 2024, the Department of Labor (DOL) implemented a final rule that may change how your business interacts with these contractors. In this post, we’ll explain the DOL’s new final rule and discuss its […]
