When filing taxes, selecting the correct filing status is crucial as it impacts tax calculations, standard deduction amounts, and eligibility for certain credits and deductions. This article analyzes the advantages and requirements of two specific filing statuses: Head of Household and Qualifying Widow(er), to help you determine which one is more beneficial for your situation. … Read more
Understanding your federal income tax rate is crucial for accurate tax planning and budgeting. The Internal Revenue Service (IRS) adjusts tax rates annually to account for inflation, ensuring that taxpayers are not pushed into higher tax brackets due to rising prices. This guide will provide a detailed overview of the 2021 federal income tax rates, … Read more
Do IRS Officers Call You? Uncover the Truth The Internal Revenue Service (IRS) is responsible for enforcing the nation’s tax laws. As part of their duties, IRS officers may need to contact taxpayers for various reasons. However, it’s crucial to be aware of the proper procedures the IRS follows to avoid falling prey to scams … Read more
Understanding the W-4 form and claiming the correct number of allowances is crucial for ensuring accurate tax withholding and minimizing tax-related surprises. This guide will provide a comprehensive overview of W-4 allowances, helping you make informed decisions about your tax withholding. What is a W-4 Form? The W-4 form, officially known as the Employee’s Withholding … Read more
Accepting an audit engagement is a significant responsibility for any accounting firm. Before agreeing to perform an audit, it is crucial to conduct thorough due diligence to assess potential risks and ensure that the firm is well-equipped to provide quality audit services. This article will provide a comprehensive overview of the key considerations that auditors … Read more
Background checks are a common practice for employers seeking to assess the suitability of potential candidates. These checks delve into various aspects of an individual’s history, including criminal records, education, and employment. However, the question arises: do background checks reveal tax-related information, such as Internal Revenue Service (IRS) records? This article examines the intersection of … Read more
The Internal Revenue Service (IRS) is responsible for ensuring that individuals and businesses comply with the tax laws and pay their fair share of taxes. One of the ways the IRS does this is through audits, which are examinations of an organization’s or individual’s accounts and financial information to verify the accuracy of reported income … Read more
Understanding Rental Income Reporting Requirements Rental income is generally taxable income that must be reported to the Internal Revenue Service (IRS). However, there are certain exceptions and special rules that may apply when renting property to family members. Length of Occupancy One key factor in determining whether rental income from a family member is taxable … Read more
Determining your outstanding tax liability is crucial for managing your finances and avoiding potential penalties. The Internal Revenue Service (IRS) provides several methods for taxpayers to inquire about their account balance, including a dedicated phone line and online resources. This article explores the options available for contacting the IRS to ascertain your tax debt. Contacting … Read more
The economic consequences of the ongoing pandemic have prompted discussions about the possibility of a fourth stimulus check from the Internal Revenue Service (IRS) in 2024. While there has been no official announcement regarding the issuance of a fourth stimulus check, this article will delve into the potential eligibility criteria, payment methods, and estimated amounts … Read more