TransUnion, one of the three major credit bureaus in Canada, provides various services related to credit reporting and monitoring. While these services can be valuable, there may be instances when you encounter unexpected charges or errors that warrant a refund. This guide will provide a detailed explanation of the process involved in obtaining a refund … Read more

Understanding the Homebuyer Tax Credit In 2008, the United States government introduced a tax credit to incentivize homeownership, particularly among first-time homebuyers. This credit, initially set at $7,500, was designed to provide financial assistance to eligible individuals and families purchasing a primary residence. The credit was later expanded in 2009 and further modified in subsequent … Read more

Yes, the IRS can seize inherited property for unpaid taxes. However, they must follow specific procedures before doing so. What is the IRS Seizure Process? Notice of Intent to Levy: The IRS will send a “Notice of Intent to Levy” to the taxpayer, informing them of their tax debt and the potential seizure of assets. … Read more

Purchasing a property is a significant financial undertaking, and many first-time buyers rely on financial assistance from family or friends to secure a mortgage. One common form of assistance is a gifted deposit, where a relative or friend provides a sum of money to contribute towards the purchase price. However, it is important to understand … Read more

Form W-2 is a crucial tax document that reports an employee’s annual earnings and withholdings to the Internal Revenue Service (IRS) and the employee. It is essential for filing accurate tax returns and claiming applicable deductions and credits. One common question that arises when reviewing a W-2 form is why the amount in Box 1 … Read more

Claiming dependents on your tax return can provide significant tax savings, but the rules can be complex, especially when the dependent is working. This guide will provide a comprehensive overview of the rules and requirements for claiming a dependent who works, with a focus on the specific scenario of claiming a daughter as a dependent. … Read more

Can a person legally refuse to pay their federal income tax? No, a person cannot legally refuse to pay their federal income tax. The Internal Revenue Code (IRC) requires all U.S. citizens and resident aliens to file an income tax return and pay any taxes that are due. What are the consequences of refusing to … Read more

Navigating the Complexities of Tax Filing The United States tax code is a labyrinth of intricate rules and regulations, making it a daunting task to file taxes independently. However, with the advent of user-friendly tax preparation software, individuals can simplify the process and potentially save hundreds of dollars in professional fees. Benefits of Self-Filing Convenience: … Read more

Self-employment tax is a combination of Social Security and Medicare taxes that self-employed individuals are responsible for paying. The self-employment tax rate is 15.3%, which is higher than the 7.65% payroll tax that employees pay. This is because self-employed individuals are responsible for paying both the employee and employer portions of Social Security and Medicare … Read more

Understanding Tax Refund Offsets The Bureau of the Fiscal Service (BFS) has the authority to reduce or withhold tax refunds to settle outstanding debts owed to federal agencies. This process is known as a tax refund offset. Debts eligible for offset include: Past-due child support Federal agency nontax debts State income tax obligations Unemployment compensation … Read more