My Finance Blog » Taxes

Don't Panic! Taxes are due April 15 in the USA…

admin — Sat, 28 Nov 2009 17:10:07 +0000

Feb 21, 2009 ******* UPDATE ******** Texas National Guard are placed on high alert. Mexico is about to explode. www.abovetopsecret.com Protests in Ireland: news.bbc.co.uk **************************** Full Text Here: www.thetruthnews.info or HTML here: www.freecanadian.net Google Books – War on Waste: President’s Private Sector Survey on Cost Control: books.google.com When tax revenue drops, then look out for new ‘fees’ and watch out for speeding fines to rise! One thing to note – the IRS are …

Chess and Taxes (long and slow)

admin — Sat, 28 Nov 2009 14:12:26 +0000

www.youtube.com Segei tells how he survived the Russian economic crisis.

How much taxes need to be paid on this (specific) lawsuit settlement?

admin — Sat, 28 Nov 2009 08:10:57 +0000

Hello All,
I am getting 35,000 in backpay wages and 10,000 for compensatory damages. I live in the state of Maryland and I just want to know how many taxes will the state take out? What tax bracket does the 35,000 fall in? I want to know exactly what I will be left with after taxes. I already know that they cannot touch the 10,000 because it is for compensatory damages. Thank You!

I have paid state taxes in more than one state this year. How do take care of the situation?

admin — Sat, 28 Nov 2009 05:10:08 +0000

I have NM state taxes withheld from my pension. This year I also worked in CO and state taxes were withheld there. Will I have to pay state tax on the $ earned in CO in NM and will I have to try to recover that CO $ by filing a tax return in both NM and CO?

Alternative Minimum Tax – What You Need To Know

admin — Sat, 28 Nov 2009 02:15:50 +0000

These days there is a lot of talk about making the rich pay more taxes and giving a tax break to the middle class. The Obama Administration has made no secret of their intention to raise taxes for the richest 2% of Americans. The accompanying message is that everyone making under $250k will not see a tax increase. This idea of taxing the rich and protecting the middle class has been around for many years. Back in 1969, a new tax code was introduced aimed at forcing 155 high-income households to pay their fair share of taxes. This new code was called the Alternative Minimum Tax. Why do you care about the Alternative Minimum Tax? Well, you may be at risk of paying penalties and interest because of it without even knowing. I’ll get to how that can happen. First let’s discuss how a change aimed at 155 rich people can grow into something that you actually have to worry about.

The Alternative Minimum Tax was created because these 155 households were able to use so many tax benefits that they would not owe hardly any taxes. The answer was to charge them an almost “flat” tax of 26% to 28%. Over the years many changes happened to the Alternative Minimum Tax. It is really its own tax code. It has its own deductions and benefits. However, since the basic reason for the Alternative Minimum Tax is to charge more taxes, you do not want to qualify for it.

Over the years, inflation has changed the value of the dollar. We won’t go into too much detail about inflation, but it is sufficient to say that since 1969, the price of just about everything has gone up. It takes more dollars today to buy a loaf of bread than it did back then. As inflation rises, so do salaries. Tax brackets, exemptions and standard deductions also get adjusted for inflation. Can you guess one thing that is not adjusted for inflation? That’s right boys and girls. The Alternative Minimum Tax is not indexed for inflation. This means that the definition of “rich” will change over the years. Had this tax code been around since the thirties, this problem would have already been solved, hopefully. But it seems that we are the ones who need to feel the pain in order to bring on change. Your job is to understand the problem and minimize your pain. Nobody wants to pay penalties and interest to the IRS for a problem they had no idea about. To complicate the problem, you may file your taxes like normal and not find out until you are audited that you should have filed using the Alternative Minimum Tax. There is nothing like being a good citizen, paying your taxes and getting penalized anyway.

So the question on your mind probably relates to the range of income that would put you at risk. A quote by the Congressional Budget Office stated that in 2010, if no changes are made, one in five taxpayers, and nearly every married couple making between $100k and $500k, would owe the Alternative Minimum Tax. The current suggestions are that if your household makes over $75k per year that you should perform the proper due-diligence and ensure that you do not owe the Alternative Minimum Tax. Many factors put you at higher risk including owning a business, having interest on a home-equity loan and having stock options that you exercised. You may not hear of a problem until an audit results in penalties and interest. To avoid this, I strongly urge you to do your homework if you feel you may be at risk.

Of course, the tools I endorse such as TurboTax or TaxAct tell you before filing whether you qualify for the Alternative Minimum Tax. These types of benefits are the beauty of having a quality system doing the real work for you. If you would like to explore more details about the benefits of these tools visit our site at www.incometaxes1040.com. Protect yourself from common tax errors to prevent bigger problems down the road. It saves you time, stress and money.

Do I need to file taxes quarterly as an independant contractor if I qualify for the earned income credit?

admin — Fri, 27 Nov 2009 23:11:49 +0000

I am new to filing as an independant contractor. I read I will need to file quarterly but also saw this on a site:

Who Must Pay Estimated Tax

If you had a tax liability for 2005, you may have to pay estimated tax for 2006.

General Rule
You must pay estimated tax for 2006 if both of the following apply.

You expect to owe at least $1000 in tax for 2006 after subtracting your withholding and credits.
You expect your withholding and credits to be less than the smaller of;
90% of the tax to be shown on your 2006 tax return, or
100% of the tax shown on your 2005 tax return. Your 2005 tax return must cover all 12 months.

Now does this mean that if I am able to qualify for the eic that I will not have to pay quarterly because I would be owing less than $1000 in taxes? Sorry if this is a dumb question, just so lost on how to file as an independent contractor. Hope all this makes some sort of sense.
How do I know how much to withhold from each check to pay up quarterly? I heard it is very difficult to estimate and i will get a penalty for accidentally underpaying.

Accounting & Finance Online Tax Calculator For Tax Return

admin — Fri, 27 Nov 2009 20:13:28 +0000

Texas Property Tax Loans – A Solution For Delinquent Residential & Commercial Property Taxe

admin — Fri, 27 Nov 2009 14:11:34 +0000

While the recent recession and economic crisis have made it difficult to secure many types of loans, Texas property tax loans stand out as an exception. Texas continues to report some of the highest property tax rates in the country and with real estate values holding up well in this state, there has been little tax relief for property owners.? Given the high rates and the ever present challenges in the economy, property owners should know that delinquencies can be addressed with a property tax loan before penalties, interest, and possible foreclosure by the county.

With the economic crisis worsening, property tax lenders expect a record number of borrowers in the months ahead.? If you are interested in a solution for your delinquent property taxes, these frequently asked questions may assist your search. ? ? ? ?

Q: What is a property tax loan and how can it help me?A: Property taxes are due in a lump sum by January 31st.? The amount of tax due increases every month thereafter until the taxes are paid. ? A tax loan consolidates the delinquent taxes, accrued penalties, interest, and any legal fees owned on the property into a loan with affordable monthly payments. The taxing authority??s existing lien is transferred to the property tax lender as security for the loan.?

Q: What type of property will qualify for a Property Tax Funding loan?

A: Loans are available for almost any type of real estate as long as the borrower is not in bankruptcy, there is no IRS lien on the property, and the property is reasonably maintained. This includes residential, commercial, investment properties, and vacant land.?

Q: What if I’ve had past credit problems?

A: Credit history is typically not an issue, except in cases of current bankruptcy.? Loans are approved for most applicants, even those with not so perfect credit.? All loans are subject to income verification

Q: How long does the loan process take?

? A: From the time the application is completed the closing can occur in less than a week.? Applications can be taken online or over the phone.? Loan closings are typically handled with a mobile notary that comes to a location convenient to the borrower.? Q: How much money can be saved by avoiding interest and penalties on a delinquent property tax bill?A: Penalties and interest are set by state legislature and begin to accrue on February 1st.? While county rates vary, you can expect penalties, interest, attorney fees and court costs of 37% to 44% per year.? It??s easy to see how a property tax loan can save thousands in penalties and interest, while more importantly, avoiding foreclosure and lawsuits by the taxing authorities.Q: What are some considerations when choosing a property tax lender?A: In addition to choosing a lender with years of experience and specialization in property tax lending, only work with a lender who is licensed by the state of Texas.? You can validate if the property tax lender is licensed to make property tax loans in Texas with the Office of Consumer Credit Commissioner.? ? http://www.occc.state.tx.us/pages/searches.html

You can also learn more about Texas property tax loans by contacting Property Tax Funding at http://www.propertytaxfunding.com/ or calling a loan officer at 877-776-7391.

How Republicans Allow Corporate America to Evade Taxes

admin — Fri, 27 Nov 2009 05:10:11 +0000

Watch more at www.theyoungturks.com Follow us on Twitter. http Check Out TYT Interviews www.youtube.com

NRA Member At Obama Town Hall Asks About Raising Taxes

admin — Fri, 27 Nov 2009 02:11:38 +0000

At President Obama’s town hall meeting in Belgrade, Montana, Obama takes a question from Randy, a “proud NRA member” who says he gets his news from “cable networks”, to which Obama says, “be careful”. Skeptical about who will foot the bill for health care reform, Randy asks the President how he doesn’t expect to raise taxes on the middle class. Obama says: “You’re absolutely right that I can’t cover 46 million people for free… We’re going to have to find money from somewhere.” But he stood …