Internal Revenue Service

Which is Best: 1099 Independent Contractor or W2 Wages It's a common conundrum; which is best 1099 contractor or being a W2 employee. Many business give their employees an opportunity to make this decision for themselves. If you ever find yourself in this situation, be sure to consider the following information. Taxes The first thing you should look at is the taxes you will be asked to pay. As a 1099 Independent Contractor, you will be forced to pay both Social Security and Medicare. This comes…

Accountants tend to wear several hats in the financial world; one of those being tax preparer. Income tax is a tax put on the income of an individual or business. The law requires all employed individuals and all businesses to file a tax return to determine whether they owe money or they receive a refund. Tax preparation is the actual process of preparing these returns, and if taxes are not prepared properly, it can increase the chance of being audited or committing tax fraud. Because tax…

For tax year 2000, US taxpayer J. Bryan Williams, who had an interest in and control over his two Swiss bank accounts, failed to mark “yes” to a tax return question regarding his existing foreign bank accounts, and did not file the Report of Foreign Bank and Financial Accounts (also known as “FBAR”) by June 30, 2001, deadline. The question that arose was whether Defendant J. Bryan Williams willfully failed to report his interest in his two Swiss bank accounts for the tax year 2000. Based upon…

Currently Non-Collectable - No Money to Pay Taxes or to Keep Paying Back Taxes You Can Stop IRS Collection of Tax Debt if You Qualify as “Currently Non-Collectable” “CNC” If your economic circumstances have deteriorated and you have too little money left after you pay for the essentials of living: rent, utilities, groceries, etc., you may qualify as currently non-collectable (CNC) – which means that the IRS will stop trying to collect back tax debt from you, whether or not you have a payment…

The lawyers at Dibble & Miller PC in Rochester, NY, can help you navigate through the tax filing process and make sure you are filing on time. Now that the average taxpayer can find a wealth of information about filing and forms online, customer service agents are trained to only provide you with information on which tax forms you need and where to go to fill them out. These agents cannot give any extended information, answer any in-depth questions you may have about the state of your taxes,…

In the past six years, I have run a stand selling golf balls next to the course in my subdivision, taken over a lawn mowing business, and sold paracord bracelets at the annual art fair in Plymouth, Michigan. Consequently, I have learned the importance of tracking income and expenses for tax purposes, among other reasons. Over the course of my ventures, I decided I had enough excess money to start a Roth IRA; however, this meant I needed to report my income. The first year I contributed to the…

case from various perspectives and under various circumstances before taking a decision on whether you need financial assistance or whether your filing is correct or incorrect. This definitely has a lot of complications but consult your tax filing service provider to know more on how you can exercise this when in…

able to claim the charitable contribution. For a cash or non-cash contribution (i.e. computer, unsold inventory, etc) the tax payer needs a receipt. For any non-cash contribution over $500 the individual must also file a form 8283. Any type of service such as volunteering is not deductible however the gas getting to and from the location is deductible. For non-cash contributions of expensive items proper and detailed documentation is needed. The tax payer needs to be able to prove it.…

treated his money. His first priority seemed to be infrastructure. The roads and bridges, especially in our town, are fairly run down. He would prefer if the federal roads were better kept and better made. Next, he chose emergency and protection services, such as the FBI or the Coast Guard. Keeping our citizens safe was a high priority. Likewise, he would also like to spend money on the military, although in a different capacity. To him, the military overspends and overpays. They need to be more…

Excise taxes started to be implemented on some of the organization for breaking the no substantial lobbying rule in 1987. This was due to the fact that congress concluded that the revocation of tax exemption for excessive lobbying was an ineffective deterrent in some cases. This was due to some charitable organization that raised money from tax deductible contributions under the 501 (c) (3) tax exemption for a substantial lobbing effort and then just ceased operation. The organizations were…