By Benie Kent: I usually advise investors to wait until yearend before making any tax motivated decisions regarding capital gain or loss recognition.  Tax law changes at the end of the year could affect the rates for the current and/or subsequent years.  Also, capital gains and losses could be dramatically affected by market forces during… Continue reading

The answer to the question is clear: “whatever gets me back a bigger refund”.  But how do you know when it is beneficial to itemize your deductions over taking the standard deduction?  Each year, thousands of taxpayers miss out of millions of dollars in additional refunds because they make a mistake in this area–usually because… Continue reading

Many couples in the midst of a divorce will likely be confused about how to file their tax return. Although many splits are sadly not amicable, this is an important time to put aside your differences, sit down with your current or former spouse and cooperate…Just as with every divorce, all tax returns are unique… Continue reading

Unemployment can be stressful enough without having to figure out the tax treatment of the unemployment benefits you receive. Unemployment compensation generally includes, among other forms, state unemployment compensation benefits, but the tax implications depend on the type of program paying the benefits. You must report unemployment compensation on line 19 of Form 1040, line… Continue reading

Did you know that almost everything you own and use for personal or investment purposes is a capital asset? Capital assets include a home, household furnishings and stocks and bonds held in a personal account. When you sell a capital asset, the difference between the amount you paid for the asset and its sales price… Continue reading

The good news for taxpayers working on their 2011 tax returns is there aren’t many major surprises this filing season. “It’s not too significant a year in that there’s not a lot of uncertainty,” says Mark Luscombe, principal federal tax analyst at CCH in Riverwoods, Ill. The Bush-era tax laws were extended through 2011 and… Continue reading

Although most income you receive is taxable and must be reported on your federal income tax return, there are some instances when income may not be taxable. The IRS offers the following list of items that do not have to be included as taxable income:   Adoption expense reimbursements for qualifying expenses Child support payments… Continue reading

If you have a tax liability with the Internal Revenue Service (IRS), you should be aware of what a tax lien is.  A tax lien is a tool used by the IRS to enforce collection of an unpaid tax liability.  It allows the IRS to take your assets—your checking account balance, your cars, even your… Continue reading

The IRS recently released a list of 5 tax tips for taxpayers who have recently married or divorced, and are planning on filing their taxes with a different last name than in years past.  If you fall into this category, it is important  to ensure that the name on your tax return matches the name… Continue reading

Fellow tax professional Dave Ramsey recently preformed a survey of 2000 taxpayers; about half of who prepared their own returns, and the other half who had them prepared professionally. This is what he found: When you use software to file your income taxes, there’s a moment, an instant just before the point of no return,… Continue reading