Prepare Now for Next Year’s Tax Bill
Every year around this time you’ll hear a lot of tax experts tell you about what you need to do before the end of the year in order to manage your projected tax bill. Liquidate your flexible spending accounts. Make charitable contributions. All of these recommendations are wise.
But this year’s isn’t the [...]
Did TurboTax Mis-calculate My Recovery Rebate Credit?
It never makes me feel good when receiving a letter from the IRS because most of the time, it’s not going to be a good news (luckily I haven’t got into any trouble with the IRS so far). So when I saw the letter from IRS in my mailbox today, I was first kind of [...]
Check Your Tax Refund Status Online
Like last year, I mailed out our tax forms one day ahead of the tax deadline, which is today. In the past I usually waited till the last minute to file, and, as you can imagine, it was never a pleasant trip to the post office on April 15th. I know, I could have used [...]
Fees Charged for Using Credit Cards to Pay Taxes are Deductible
Yesterday, I wrote a post on why it may not be a good idea to pay your federal taxes with credit cards. The reason is that fees charged by service providers (at 2.49% of the amount paid) cannot make cardholders benefit from the transaction, unless the card has a rewards program that can compensate the [...]
Can You Pay Federal Taxes with Credit Cards?
The answer is Yes.
The question isn’t really whether you can use plastics to pay taxes or not, but rather whether paying taxes with credit cards is worth it or not.
How Much Does It Cost to Pay Taxes by Credit Cards?
The IRS has two authorized partners which provide the convenience service of letting taxpayers pay taxes [...]
File Tax Extension Electronically for Free
As always, I am still working on our 2008 tax returns even as the deadline to file 2008 income taxes, which is April 15th, 2009, is just a week away. Despite the delay, we already have all the files and documents we need, therefore, we won’t seek an extension to our filings. In our case, [...]
Last Minute Tax Deals
The deadline to file your tax, April 15th, is less two weeks away. It’s time to get the work done.
I got my TurboTax software and all the files/documents I needed and started our taxes in early February, but haven’t touched them in more than a month after I found out that, like the past couple [...]
New Car Buyer Tax Break for 2009
IRS today announced a special tax break for new car purchases (the tax break was actually approved by the congress as part of the American Recovery and Reinvestment Act of 2009). If you are planning to buy a new car, then you may get a break on state and local sales taxes and deduct taxes [...]
What You Need to Know about Early Withdrawal from Retirement Accounts
If you are saving for your retirement using vehicles such as IRA and/or 401(k), there are limitations on when investments can be withdrawn from these accounts. Since these are tax deferred accounts, either contributions (401(k) and Traditional IRA) or growth (Roth IRA), or both (401(k) and Traditional IRA) will be taxed at the time when [...]
How to Claim Recovery Rebate Credit on 2008 Tax Return
Early last year, the government sent taxpayers an economic stimulus tax rebate check, which is now called Recovery Rebate Credit, up to $1,200 (of course, you had to file 2007 tax return to be eligible for the rebate) as part of the efforts to revive the economy. And by now we already know that the [...]
