I do a lot of radio and other interviews this time of year and inevitably I’m asked why doing your taxes is so complicated. My answer is predictable, “The Tax Code is too complicated.” Of course, that’s easy to say. And the proof is easy to find. The National Taxpayer Advocate Nina E. Olson agrees,…
If you’re planning on filing your federal income tax return in the next few days, you’re not alone: statistically, about a quarter of all returns are mailed in the last week of tax season. No matter how close to the wire you get, as long as your return is postmarked by April 15, the IRS…
There are just a few days left until Tax Day… Have you filed your taxes yet? If not, the Free File Alliance, a nonprofit coalition of industry-leading tax software companies partnered with the IRS, is reminding taxpayers that you can file your taxes for free at www.IRS.gov/FreeFile. Free File offers two options to taxpayers depending…
Chances are that, prior to this month, you had never heard of Memories Pizza. The pizza parlor, located in the small town of Walkerton, Indiana, about 20 miles southwest of the University of Notre Dame, made national news when its owner, Crystal O’Connor declared during a television interview that the pizza parlor would not cater…
Happy National Beer Day! National Beer Day falls on April 7 and commemorates the day that beer was once again allowed to be legally manufactured and sold following a long, dry Prohibition. On March 22, 1933, President Franklin Roosevelt signed the Cullen–Harrison Act into law which moved the U.S. away from Prohibition by allowing the…
It’s my annual “Taxes from A to Z” series! Next up: Z Is for Zloty U.S. resident taxpayers must pay their taxes in U.S. dollars. Of course. But what about international taxpayers? International taxpayers without a U.S. bank account are allowed to transfer funds from their foreign bank account directly to the Internal Revenue Service (IRS)…
It’s my annual “Taxes from A to Z” series! Next up: Y Is For Years Certain Annuity An annuity is an insurance product that pays you each month for a specified term. The term can be based on your life span or a pre-determined number of years; if it’s based on a pre-determined number of…
It’s my annual “Taxes from A to Z” series! Next up: X Is For 1040X Mistakes happen. And sometimes, no matter how careful you are, those mistakes happen on a federal income tax return. Those mistakes – no matter how innocent or unintentional – can affect your federal income tax liability. While it’s tempting to…
It’s my annual “Taxes from A to Z” series! Next up: W Is For Withholding On Wages Chances are, the first paycheck you ever received came as a shock. It was almost certainly less than you expected. The reason for the discrepancy? Taxes. If you are an employee, your employer withholds income tax from your…
It’s my annual “Taxes from A to Z” series! Next up: V is for Veterans’ Benefits Under the Tax Code, income is reportable and taxable unless otherwise excluded. Fortunately, when it comes to veterans’ benefits, those paid under any law, regulation, or administrative practice administered by the Department of Veterans Affairs (VA) are completely excludable….