Purchasing a house is a significant financial undertaking that requires meticulous preparation and documentation. Among the essential documents required for a mortgage application are tax returns, which provide lenders with insights into your financial history and stability. This article delves into the number of years of tax returns typically requested by lenders and explores the … Read more
Yes, Canadian banks share information with the Canada Revenue Agency (CRA). As part of the Enhanced Financial Account Information Reporting regime, Canadian financial institutions, including banks, are required to collect and report specific information about their clients’ accounts to the CRA. This information includes: Account holder’s name, address, and date of birth Account number and … Read more
Audits are an essential part of ensuring compliance with food safety regulations and maintaining product quality. However, unexpected audits can pose challenges, especially if key personnel are unavailable. This article explores the question of whether it is possible to refuse an audit if the Quality Manager is not on-site. FDA and USDA Audits For FDA … Read more
The third round of Economic Impact Payments, also known as stimulus checks, were a crucial part of the American Rescue Plan Act of 2021, signed into law on March 11, 2021. These payments were intended to provide financial relief to individuals and families struggling during the COVID-19 pandemic. In this comprehensive guide, we will delve … Read more
Navigating the complexities of funeral expenses and their potential tax implications can be daunting during a time of grief. Understanding the tax laws surrounding funeral costs can help you optimize your financial situation and minimize the financial burden associated with end-of-life expenses. This comprehensive guide will delve into the deductibility of funeral expenses, exploring the … Read more
Can I Claim Both 80CCD 1B and 80CCD 2? Yes, you can claim both 80CCD 1B and 80CCD 2. Overview of Section 80CCD Section 80CCD of the Income Tax Act, 1961 provides tax deductions for contributions made towards certain pension schemes notified by the Indian government. These schemes include the National Pension System (NPS) and … Read more
When receiving a gift of money to help with a mortgage down payment, it’s important to understand the tax implications. Whether or not the gift needs to be reported to the IRS depends on the amount of the gift. Gift Tax Exclusion In 2023, the annual gift tax exclusion is $17,000 per person. This means … Read more
The Rule of 55 is an IRS regulation that allows individuals to withdraw funds from their employer-sponsored retirement plans, such as 401(k)s and 403(b)s, without incurring the typical 10% early withdrawal penalty. This rule applies to individuals who leave their job in or after the year they turn 55. Key Points About the Rule of … Read more
Understanding IRS Audits of Deceased Individuals The Internal Revenue Service (IRS) has the authority to audit deceased individuals just as they would living taxpayers. This can be a confusing and challenging process for the estate executor or loved ones responsible for handling the deceased person’s tax affairs. Who is Responsible for Filing Taxes for a … Read more
Understanding the IRS’s Authority The Internal Revenue Service (IRS) possesses the legal authority to impose a lien on your property, including your home, if you fail to fulfill your federal income tax obligations. This lien serves as a public notice that the IRS has a claim against your assets, including your home equity. While the … Read more