The Internal Revenue Service (2020) has issued a reminder to taxpayers that they are not required to take money out of their individual retirement accounts (IRAs) and retirement plans this year. Here’s the scoop. The Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which was passed in response to the COVID-19 pandemic, offers several opportunities to…
Still desperately searching for ways to lower your 2013 tax bill? Believe it or not, there’s still time…
H is for Hardship Withdrawal. When resources are limited – especially in a tough economy – taxpayers look all over the place to pay bills, from the equity in their homes to under the sofa cushions. One of the options that taxpayers often consider is a hardship withdrawal from a retirement plan. Retirement plans, such…
W is for Wash Sale. “Just call it a wash.” How many times have you said that? If you’ve ever uttered those words, then you have a pretty good understanding of a wash sale. It is, at its most basic, when you sell or trade stock or securities at a loss while simultaneously (or nearly…
Taxpayer asks: In 2010 I converted 40K from a traditional IRA to a Roth IRA. According to the rules I was allowed to defer payment of taxes on this until 2011 and 2012. How and where do I report income on my 2011 and 2012 returns?Thank you, taxgirl says: The rules for converting to a…
There’s a reason that the stock market continues to make news: over half of Americans own individual stocks, mutual funds, or stocks in a 401(k) or IRA. According to a 2011 Gallup poll, 54% of Americans hold stocks in some form despite fears of a shaky market. While reasons for investing in the stock market…
So here it is… After hours on Friday, December 30, 2011. You had the best of intentions to do some sort of tax savings strategy before the end of the year and you blew it. You’re done. Or are you? It turns out that there’s still time to do a couple of things to save…
In the tradition of tax years past, it’s the season to talk about charitable contributions! Charitable donations are an excellent way to reduce your tax burden for the year, all while doing something for the greater good. But as with everything in tax law, there are procedures and rules that need to be followed. Here…