Every year, I offer tips on how to find a good tax professional (and sometimes, how to avoid a bad one). This year, after a conversation with a tax professional who was trying to figure out how to nicely say goodbye to a difficult client (it happens), I started thinking about how personal the tax…
It’s my annual “Taxes from A to Z” series! Next up: S Is For Scams There have always been folks willing to take advantage of honest taxpayers but recently it feels like scams are all the rage. The Internal Revenue Service (IRS) is working to educate taxpayers about scams with the hope that the more…
Basketball fans everywhere were on the edge of their seats this weekend as Notre Dame nearly ended Kentucky’s perfect season in a nail biter. After the game, brackets everywhere remained mostly intact and folks who had picked Kentucky to win it all in the office pool breathed a sigh of relief. I’m fifth in my…
It’s my annual “Taxes from A to Z” series! Next up: R Is For Rollover Building your nest egg for retirement? Most of us simply make contributions and leave it alone. Occasionally, however, there might be a situation when you need or want to move funds from one plan to another. There’s just one problem:…
It’s my annual “Taxes from A to Z” series! Next up: Q Is For Qualifying Widow(er) With Dependent Child After the death of a spouse, figuring out your taxes is probably the last thing on your mind. Uncle Sam gives you something of a tax break by allowing you to continue to file as married…
There are a few things you can reliably count on this time of year: The winds are a little less biting. The daffodils are finally making an appearance (except in the northeast – sorry, Boston). Tax professionals have that “tell me it’s almost over” look as we enter the home stretch for individual returns. And…
It’s my annual “Taxes from A to Z” series! Next up: P Is For Personal Property Taxes Most taxpayers are used to the idea that they can deduct taxes paid on real property. Real property generally includes land and improvements. Most commonly, those improvements are buildings. You most likely identify the “improvement” on your land…
It’s my annual “Taxes from A to Z” series! Next up: O is for OID OID stands for Original Issue Discount. You’ll likely hear this concept discussed in the context of bonds, and you might even have received a Form 1099-OID. There are many sophisticated OID concepts, but we’re going to focus on the most…
I am not a car person. I never have been. My first car was my parents’ old Buick, I now drive a practical but boring Honda. I’ve never been to the Philadelphia Car Show. And I’d rather have a root canal than go to a car dealer. Despite this, I managed to raise a car…
It’s my annual “Taxes from A to Z” series! Next up: N is for nonrefundable tax credits A credit is a dollar for dollar reduction in the amount of tax you owe. There are two types of tax credits: A refundable tax credit can reduce your tax liability below zero. If the amount of the…