If you own a home in a vacation locale – whether it is your primary residence or a vacation home – and are considering renting it out to others, there are complicated tax rules, referred to as the “vacation home rental rules,” that you need to be aware of. Generally, the tax code breaks a “vacation rental” into three categories, each with a different treatment for income and … [Read more...] about Renting Your Vacation Home
Bunching Your Deductions Can Provide Big Tax Benefits
If your tax deductions normally fall short of itemizing your deductions or even if you are able to itemize, but only marginally, you may benefit from using the “bunching” strategy. The tax code allows most taxpayers to utilize the standard deduction or itemize their deductions if that provides a greater benefit. As a rule, most taxpayers just wait until tax time to add … [Read more...] about Bunching Your Deductions Can Provide Big Tax Benefits
Important Times to Seek Assistance
Waiting for your regular appointment to discuss current tax-related issues can create problems or cause you to miss out on beneficial options that need to be timely exercised before year-end. Generally, you should call this office any time you have a substantial change in taxable income or deductions. By doing so, we can advise you about how to optimize your tax liability, … [Read more...] about Important Times to Seek Assistance
August 2012 Business Due Dates
August 10 - Social Security, Medicare and Withheld Income Tax File Form 941 for the second quarter of 2012. This due date applies only if you deposited the tax for the quarter in full and on time. August 15 - Social Security, Medicare and Withheld Income Tax If the monthly deposit rule applies, deposit the tax for payments in July. August 15 - Non-Payroll Withholding If … [Read more...] about August 2012 Business Due Dates
August 2012 Individual Due Dates
August 10 - Report Tips to Employer If you are an employee who works for tips and received more than $20 in tips during July, you are required to report them to your employer on IRS Form 4070 no later than August 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 August 2012 Individual Due Dates