Income tax advices and companies? This is a important topic in 2020. Money are a big issue, as everyone knows. We will talk about a few tax preparation tips finishing with the presentation of a top professional firm in US.
Look back to last year’s return? Hopefully by now you’ve filed your tax return for last year, or filed for an extension. If you’ve already filed your taxes for the current tax year, look back and think about areas that were problematic or extra stressful. Then think about how you can alleviate that stress for next year. For example, if you did your own taxes and had trouble with the math, consider using a free online tax-preparation service like Mtptaxes next year. If you had trouble verifying contributions you made to charity, plan how you’ll keep better records so it’s easier to claim a charitable deduction.
Student loan interest paid by you or someone else: In the past, if parents or someone else paid back a student loan incurred by a student, no one got a tax break. To get a deduction, the law said that you had to be both liable for the debt and actually pay it yourself. But now there’s an exception. You may know that you might be eligible to take a deduction but even if someone else pays back the loan, the IRS treats it as though they gave you the money, and you then paid the debt. So, a student who’s not claimed as a dependent can qualify to deduct up to $2,500 of student loan interest paid by you or by someone else.
Make 401(k) and HSA Contributions: People can make tax deductible contributions to traditional IRAs up to April 15 of next year. However, the door closes on Dec. 31 for 401(k) and health savings account contributions. “It’s a hard stop,” says Wendy Barlin, a Los Angeles-based CPA and author of “That’s Deductible!: Simple Tips and Tricks to Find More Business Tax Deductions.” “Whatever opportunities you have at work (for retirement savings), make sure you maximize them before the end of the year,” she says. Taxpayers with a qualified high-deductible family health insurance plan can deduct up to $7,000 in contributions to a health savings account. Individuals with self-only coverage can deduct $3,500. Those age 55 or older are eligible for an additional $1,000 catch-up contribution. Tax deductible contributions to a traditional 401(k) are capped at $19,000 for 2019. Workers age 50 and older can make an additional $6,000 in catch-up contributions. See even more info at Tax Preparation Services.
Do (a Little) Research: Since tax laws and interpretations are continually changing, you should attempt to be as informed as possible. Even if you use a tax advisor, it’s wise to understand the tax issues and treatments that affect you as thoroughly as possible so you can make the best decisions. It’s not difficult to spend an hour or two online researching specific taxable situations or relative conditions. For example, entering the words “freelance income tax” in a search engine reveals numerous sources about the tax treatment and filing of freelance income. A search of the words “home rental income tax” delivers a similar number of sources about the treatment of home rental income. You can never know too much about income taxes. After all, it’s your money that you keep by minimizing your tax liability.
Under CCPA provisions, an employer cannot discipline or terminate an employee whose wages are being garnished for a solitary debt. However, federal laws and CCPA provisions do not extend protection for employees with multiple wage garnishments. Some states may provide greater protection for employees by increasing the number of garnishments that can serve as the basis for termination or by prohibiting all terminations because of garnishments, so it is important to understand any applicable state regulations that may affect your business.
Get professional Tax preparation and Audit defense, so you don’t have to face the internal revenue Service alone. Our Team of licensed Enrolled agents will assist you in every step of the process. Therefore, you are not alone. So if you have back taxes, or simply filing your taxes, call us now. We at Green Tree Tax are ready to tackle all your tax problems. Whether you have a late tax return, International Tax Responsibility and simply wanting to file your Tax return Contact us. Most importantly, your estimate is free of charge, so you only pay us when we file your taxes. Find more information at GreenTree.Tax.