Article Highlights: Definition of Tax BasisCost BasisAdjusted BasisGift BasisInherited BasisRecord Keeping For tax purposes, the term “basis”refers to the original monetary value that is used to measure a gain or loss. For instance, if you purchase shares of a stock for $1,000, your basis in that stock is $1,000; if you thensellthose shares for $3,000,the gain is … [Read more...] about Why Tax Basis Is So Important
Top 10 Startup Business Questions Every Entrepreneur Should Answer
Starting a small business can be one of the most exciting and rewarding events in someone’s life. But it can also be extremely stressful. If you’re thinking about becoming an entrepreneur, you might have more questions swirling around in your mind right now than you can count. Don’t despair. This is completely normal. After all, it shows you’re serious about your … [Read more...] about Top 10 Startup Business Questions Every Entrepreneur Should Answer
Forget Something on Your 2018 Return?
Article Highlights: Tax Reform ProblemsCorrected 1099s and K-1sOverlooked Income and DeductionsMarital IssuesMitigating PenaltiesThe Need for Prompt Amendments If you forgot to include necessary information on your 2018 return, you are not alone. In addition, you may have received a revised 1099 or K-1 since filing your return. The IRS has struggled to deal with the … [Read more...] about Forget Something on Your 2018 Return?
May 2019 Individual Due Dates
May 10 - Report Tips to Employer If you are an employee who works for tips and received more than $20 in tips during April, you are required to report them to your employer on IRS Form 4070 no later than May 10. Your employer is required to withhold FICA taxes and income tax withholding for these tips from your regular wages. If your regular wages are insufficient to … [Read more...] about May 2019 Individual Due Dates
So, You’ve Made a Mistake on Your Tax Return. What Happens Now?
Generally speaking, tax return mistakes are a lot more common than you probably realize. Taxes are naturally complicated, and the paperwork required to file them properly is often convoluted. This is especially true if you're filing your taxes yourself — and all of this is in reference to a fairly normal year as far as the IRS is concerned. The 2018 tax year, however, … [Read more...] about So, You’ve Made a Mistake on Your Tax Return. What Happens Now?