If you're challenging the IRS on a tax-return issue, pay the tax you owe now. Don't wait until the dispute is settled.
Small Business Tax
Section 179 vehicles should be a key part of your small business tax deduction strategies. Can Section 179 property fit in with your business tax strategies?
Let Business Management Daily help you get each and every rental property depreciation credit and business tax deduction you’re entitled to.
Q: I bought a car this year that I used for my sales rep job. My company reimburses me for travel but not the interest I'm paying on a car loan. Can I deduct the interest as a business interest expense? E.L., Islip, N.Y.
For investors relying on variable annuities during their retirement years, it's no fun watching the stock market intermittently spike and then plummet. When the market is booming, so is your investment. But your return suffers when the market takes a nose dive.
While school is out this summer, your teenage child may work full time or part time. Of course, income taxes will be withheld from those wages, even if your child won't have any income tax liability for 2005.
With precious little fanfare, the Working Families Tax Relief Act of 2004 revamped the rules for dependency exemptions. It created a uniform definition of "child" and relaxed the requirements for certain taxpayers. But the old rules still apply in some situations, resulting in even greater confusion for taxpayers. Here's a quick primer on the old rules, plus how you can take advantage of the new rules.
Sooner or later, you may decide to sell off your S corporation and retire. If you run a family shop, you may plan to sell your stock to younger family members who are already working in the business.
Q: I'm 60 years old and have a traditional IRA with $250,000 in it. I also have a Roth IRA in its third year. Can I roll over the traditional IRA to a Roth and use $150,000 of NOLs to offset any tax that must be paid? B.W.
If you're shopping around for a new business vehicle, take into account the just-released IRS depreciation limits for cars placed in service in 2005.
Q: I'm confused about the gift-tax exclusion. My accountant told me I can give away $11,000 a year, but my brother says the actual exclusion is $1 million. Who is right? N.S., Memphis, Tenn.
Do you pay someone to watch your under-age-13 children while you and your spouse work? If so, you probably know that you can claim the dependent care credit, commonly called the "child care credit," for your qualified expenses. That includes your costs for day care centers, baby sitters and preschools.