If you own your own home and have a mortgage, you likely received a document at tax time from your lender. Known as the Form 1098, it totals the amount of interest you paid during the last tax year on your mortgage. The IRS must receive a copy of this form from your lender per […]
— Read moreTaxpayers who earn low to moderate income may find some relief at tax time with the Earned Income Tax Credit (EITC), a refundable credit that seeks to help working families. The EITC works by reducing the amount of taxes you have to pay, and even if you don’t have any tax liability, you may receive […]
— Read moreIf you receive Social Security disability benefits, you should be aware that they are taxable. However, many aren’t required to pay on them. Social Security disability benefits are taxed, but those who have very little additional income usually don’t have to pay the tax. Statistically, those who do pay taxes on their Social Security Disability […]
— Read moreSometimes, those you owe money to may consider the debt forgiven, and cancel the remaining balance. In these situations, you’ll likely still have to pay tax on the amount forgiven, as the IRS considers the balance to be a form of income. You’ll be responsible for paying income tax on the cancelled debt. Debt is […]
— Read moreTaxpayers who claim deductions typically understand that they have to be able to prove that they qualify for the deduction. For example, you know if you claim business expenses, charity gifts, or other costs for deduction, that you’ll need to supply documents such as receipts, cancelled checks, or bank statements in the event of an […]
— Read moreTaxpayers who pay their student loans using an IBR, ICR, or PAYE repayment plan should be extra careful when filing their tax returns. The tax filing status you chose can affect your repayment plan. Married taxpayers should determine whether filing a return with their spouse, using “married, filing jointly,” or keeping their income separate by […]
— Read moreIf you electronically file your tax return, you will receive an email within 48 hours. This email will tell you to sign into your account, to see if your return was accepted. If your return was not accepted, you can correct your return resubmit it to IRS at no charge. When your return is accepted […]
— Read moreIt’s nice to work hard and get a bit of a break at tax time. The Earned Income Tax Credit (EITC) does exactly that for workers who earn a lower income, giving back some of the taxes these workers paid. It’s refundable, so eligible taxpayers without a tax liability can receive money back from the […]
— Read moreThe Health Insurance Marketplace sells four different types of plans: bronze, silver, gold, and platinum. These four plans provide varying levels of coverage, and the cost varies, with platinum plans being the most expensive. The Second Lowest Cost Silver Plan (SLCSP) is the silver plan that has the second to least expensive available in the […]
— Read moreIn most situations, you can only claim a child as a dependent if they lived with you for over 50% of the tax year. It’s standard that the taxpayer with whom the child lives with, in most cases the custodial parent, has the right to claim the child and the associated credits and exemptions. There […]
— Read more
