Taxpayer asks: I’m getting married in March. Since I will be married when I file my taxes, do I file married? taxgirl says: Nope. For federal income tax purposes, your filing status is determined as of the last day of the tax year (December 31 for individuals). If you were single on that day, you…
It’s another snow day in Philadelphia. Our last storm blew in on late Tuesday night leaving us with between 12 and 14 inches of snow. Schools are closed and in my little corner of the city, with our hilly, narrow streets, roads are still dicey at best. So what does this have to do with…
I woke up this morning determined to go for a run… until I saw that the temps, according to Accuweather, “felt like 5 degrees.” The wimp in me won over. In fact, it’s cold across most of the nation this morning which makes it a pretty good day to grab a cup of coffee and…
(Editor’s Note: Somehow, in the chaos of my Sunday morning, I didn’t paste in the second part of the question and first part of my answer. So, edited to reflect those changes… sorry about that!) Taxpayer asks: I’m 23, full time student, lived at home for free, worked…$6500 with withholding of $500. Can I file…
Taxpayer asks: I am very confused. Your blog says that we will be getting back more money this year because of the payroll tax holiday. My withholding must be screwy because I am making less money. What is going on? taxgirl says: Okay, this is where tax laws can get really confusing. Yes, there is…
Taxpayer asks: Was the “Making work Pay” tax credit extended? taxgirl says: No, the Making Work Pay Credit was not extended as part of The Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act which was signed into law on December 17, 2010. The credit is still applicable for the 2010 tax season since it…
Taxpayer asks: I own a small business. I was planning on getting my employees a little something for Christmas this year but I heard on TV that they’d be taxed on it. Is that true? taxgirl says: It depends. You see, the IRS tends to believe that, even at the holidays, you aren’t really giving…
Taxpayer asks: I heard today that the courts ruled Obamacare unconstitutional. Does that mean that we don’t have to worry about those new 1099s now? taxgirl says: There are a couple of pieces to this question. First things first: the health care bill is still law. Procedurally, what happened was that a federal court in…
Taxpayer asks: Can successful or failed contenders deduct their expenses from the federal taxes as a job hunting related expense? Got to wonder what Whitman was thinking spending all that money except, I can deduct these ‘loans” one way or the other not as a political contribution (rather limited) but a job hunting expense. Curious…
Taxpayer asks: Any site that you can provide related to the statute of limitations of unpaid individual income taxes? The tax periods in question are from 1982 – 1987. Taxgirl says: This is actually a tricky question because so many things need to be taken into account. Here are some general principles: Under IRC section…