Make sure that you claim all income you receive. If you have a small business and you earned more than $1,000 in self-employment work, you need to report it by using the Schedule C to claim business expenses. If you made a profit, you need to pay self-employment taxes. If you’ve lost money, it is… [Continue Reading]
Deductions
January 25, 2010 By Leave a Comment
You may recall my post on Tax and Credits in my Tax Tip {Part 4} where I talked about the normal standard deductions. Now I’m going to talk about the deductions you can take that most either don’t realize they can take or that don’t take because then they need to itemize. Take a look… [Continue Reading]
Tax Tip {Part 7}
January 24, 2010 By 1 Comment
That’s it, the only thing left is to find out if you are getting a refund or if you must pay additional money to the government. Line 72 – If line 71 is more than line 60, subtract line 60 from 71 and this is the amount you overpaid. In our example, Line 71 is… [Continue Reading]
Tax Tip {Part 6}
January 24, 2010 By Leave a Comment
Payments Line 61 -Enter the total amount of federal income tax withheld from your W-2′s and 1099′s. Line 62 – Enter any estimated federal income tax payments you made for 2009. Include any overpayment that you applied to your 2009 estimated tax from: Your 2008 return, or An amended return (Form 1040X). Line 63 –… [Continue Reading]
Tax Tip {Part 5}
January 24, 2010 By Leave a Comment
Other Taxes Line 56 -Enter the self-employment taxes. Line 57 – Enter the total of any taxes from Form 4137 and Form 8919. Check the appropriate box(es). Line 58 – Additional Tax on IRAs, Other Qualified Retirement Plans, etc. If any of the following apply, see Form 5329 and its instructions to find out if… [Continue Reading]
Tax Tips {part 4}
January 24, 2010 By 2 Comments
Tax and Credits I’m going going to do the standard deduction in this particular post. Because this is one are where most people are most likely to miss something or not realize they can deduct that expense, I will do a separate Tax Tip for Itemization. Your normal standard deductions are: Married filing jointly –… [Continue Reading]
Tax Tip {Part 3}
January 24, 2010 By Leave a Comment
Adjusted Gross Income Line 23 – If you are a teacher, you are able to deduct some of the money yo spent on supplies. You can deduct up to $250 of qualified expenses. Line 24 – Business expenses for reservists, performing artists, and fee-based government officials would be deducted here. Line 25 – If you… [Continue Reading]
Tax Tip {Part 2}
January 23, 2010 By 5 Comments
Income The next section of of the 1040 is your income. Line 7 – is your wages from your W-2, this is the total amount of money you made (before taxes). Line 8 – Taxable and Tax-exempt interest. These would be from 1099-INT or 1099-OID, you usually get these from the bank for your savings… [Continue Reading]
Tax Tip {Part 1}
January 23, 2010 By Leave a Comment
Need some help with your taxes? Well, I’m going to help you out with that. I am going to go through the entire 1040 with you, starting with the first part of the form. Now, obviously the first part is the easiest. All you have to do is fill out your personal information. Just fill… [Continue Reading]
