When tax season approaches, it’s always a good idea for parents and guardians to familiarize themselves with the current rules for claiming dependents. Doing so can lead to valuable tax benefits but also comes with highly specific eligibility criteria and guidelines. Delve into the intricacies of claiming dependents on your income taxes and empower yourself with the knowledge you need to make informed decisions, maximize tax savings, and ensure full compliance with tax regulations. Here’s what you need to know about the tax rules for claiming dependents.
It's no secret that it can be frustrating to navigate the complexities of US tax codes and regulations. Of course, the last thing anyone wants is to find themselves facing tax penalties. While every situation is unique, there are some common pitfalls that can trigger penalties, so empowering yourself with a bit of information can help you stay compliant. Here’s a brief guide on how to avoid the costly consequences of tax penalties.
June isn't just a time for soaking up the early summer sun; it's the most popular month for couples to get married. About 10.8% of engaged couples will set a date sometime in June, which edges out August for the most wedding-saturated month of the year. Whether you’re having a small or large ceremony, a reception for 20 or 200, you have likely been making plans for months or even years. In the midst of all the excitement, you probably won’t be thinking about your tax filing status. When tax time rolls around next year, here’s the information you’ll need regarding how tax filing status changes for married couples.
When you see the phrase "identity theft," it’s likely that the first thing you think of is compromised credit and debit cards or a hacked bank account. Often, the identity theft we hear about involves the electronic movement of money, so we have learned to be more careful, protecting how we share information and making sure our personal details are encrypted and secured. However, one crime not often considered is another popular type of identity theft involving your tax returns, though it’s more common than you might think. Let’s look at what is involved and some of the best ways to protect yourself against tax identity theft.
Three kinds of taxpayers are doing their taxes incorrectly: those who are waiting for a refund, those who are dreading doing their taxes, afraid of owing as much as they did in the prior year, and those who have actually haven't got a clue as to what their taxes will look like once the dust settles. What they all have in common is insufficient planning, and each of them should take time to sit down with a Certified Public Accountant (CPA) and start planning for next year - because good tax planning never leaves money on the table.
The past few years have seen some dramatic changes in workplaces across all industries. For example, the move toward fewer in-person visits to accountants began even before health concerns curtailed or eliminated nearly all interactions at every office. However, clients can take comfort that they still have the option of being able to meet "face-to-face" with their accountant on Zoom or any of the other video conferencing apps. This adjustment to a virtual relationship has raised concerns in some areas but has eased many other aspects of accounting. Let’s explore the question of whether a virtual meeting with your accountant is as effective as a meeting in person.
“Preparedness is the ultimate confidence builder” – Vince Lombardi
The time for reporting income taxes is here once again. For many, it’s a time of high anxiety, but it doesn’t have to be. As with most daunting tasks, a little preparation can go a long way toward alleviating stress and assuring smooth progress. Time spent organizing and uploading your documents prior to your virtual appointment with your CPA will serve you and your tax preparer well on multiple levels.
For example, as you are putting your files in order, it will likely refresh your memory of events throughout the year, which may affect the amount of taxes owed. Better yet, being prepared will inevitably cut down on the time needed to complete tax filings, since there will be less back-and-forth between you and your CPA. Here are some of the best ways for individuals and families to prepare for tax season.
The start of a new year is always a good time to create a cash flow projection and work toward improving cash flow management skills. Adam Stewart, a debt collection expert, describes it this way: “Cash flow is having the right amount of cash in the right places at the right time, every time.” Cash flow management begins with observing the natural flow of funds in your organization, household, or business with the desired goal of generating useful cash flow projections. Here’s how you can get on top of your cash flow in 2023.
The end of the year has always been one of the most hectic times for business owners. Moving forward into the new year, it's always a good exercise to thoroughly assess your financials and your tax options, enabling you to get a realistic picture of how the business performed - and what changes you might want to implement for future growth - in other words, preparing your business for 2023.
You don't have to listen to the news to know that each paycheck seems to disappear faster than ever these days. Inflation affects every aspect of life, such as grocery shopping, commuting, air travel - nothing is left untouched. One of the most effective tools available to counter the effects of the rise in prices and decline in the value of money is a household budget. Here’s some ways you can fight inflation by getting back to budgeting basics.