Losing a job is never an easy situation, and taxes are definitely not the most important thing when it happens. But ensuring that you don’t fall behind can save you from future heartache and problems.
Keep Paying Your Taxes
Did you know unemployment benefits are still taxable? Taxes are not automatically taken out. Depending on how great you are at saving, you may want to request that the taxes be removed automatically. Your future self will thank you.
Sometimes, one spouse really is “the bad guy.”
If your husband or wife (or ex) has tried to pull a fast one on the IRS, you really shouldn’t get in trouble for their misdeeds.
But with the IRS, of course, you are guilty until proven innocent, so here’s what you need to do to distance yourself from your shady partner.
Recognize the difference between “injured” and “innocent” spouse. The two sound similar, but they’re really very distinct complaints.
At first glance, it seems like “Currently Not Collectible” is a great idea.
It gets the IRS off your back and forces them to leave you alone. And you can breathe a sigh of relief. Right?
Well, yes and no.
The upside to “Currently Not Collectible” is that yes, the IRS does acknowledge that you are living in financial hardship and cannot pay your tax debt right now. (This means having little to no leftover money after paying essential living expenses each month.) And they “leave you alone” for a while. They hold off on collecting past due taxes, they won’t garnish your wages or levy your bank account, and they stop all collection activity.
Running a small business is not for the faint of heart, but it can certainly be rewarding. After all – you’re doing what you love to do! But tax season can have even the most seasoned of entrepreneurs running for the hills. At Polston Tax, it’s our job to help make your taxes a breeze, and we like to look out for our small business owner friends. This week, we’re focusing on Landscapers and Gardeners. Here are a few tips to help you guys and gals plant some seeds for tax savings and grow your returns come April. (See what we did there??)
We have heard about two new tax scams involving verification of tax returns. These scams continue to become more deceptive, so please be aware! Below are more details about these two new tricks to steal your tax information and possibly your identity.
The Conning CEO
This scam largely depends on HR Professionals or payroll service employees. A phishing email is sent to someone who might handle W-2s for a company. A few variations of the text include:
As we gear up for Tax Day – which is on April 18th this year! – we’re doing a series of posts for the small business owners who most frequently come to us with questions. This week, we’re discussing a deduction we hope you won’t need – a tax writeoff for employee theft or embezzlement.