NEWS

 
  • Beware – The Dirty Dozen Tax Scams!!! - Taxsmith, LLC would like to remind taxpayers to use caution to protect themselves against a wide range of schemes ranging from identity theft to return preparer fraud. The top 12 scams, compiled by the IRS each year, lists a variety of common scams taxpayers can encounter at any point during the year. But many of these schemes peak during filing season as people prepare their tax returns. Illegal scams can lead to significant penalties and interest and possible criminal prosecution. […]
  • Special Tax Benefits for Armed Forces Personnel - If you’re a member of the U.S. Armed Forces, Taxsmith wants you to know about the many tax benefits that may apply to you. Special tax rules apply to military members on active duty, including those serving in combat zones. These rules can help lower your federal taxes and make it easier to file your tax return. Here are some of those benefits… 1. Deadline Extensions.  Qualifying military members, including those who serve in a combat zone, can postpone some tax […]
  • Do You Have An Offshore Account in the U.K. or Australia? - Recently, the tax administrations from the United States, Australia and the United Kingdom announced a plan to share tax information involving a multitude of trusts and companies holding assets on behalf of residents in jurisdictions throughout the world. The three nations have each recently acquired a substantial amount of data revealing extensive use of such entities organized in a number of jurisdictions including Singapore, the British Virgin Islands, Cayman Islands and the Cook Islands.  The data contains both the identities […]
  • Tips for Taxpayers Who Travel for Charity Work … - Do you travel while doing charity work? Some travel expenses may help lower your taxes if you itemize deductions when you file next year. Here are five tax tips the IRS wants you to know about travel while serving a charity. 1. You must volunteer to work for a qualified organization. Ask the charity about its tax-exempt status. You can also visit IRS.gov and use the Select Check tool to see if the group is qualified. 2. You may be able to […]
  • IRA Contribution Tips from Taxsmith, LLC - Taxsmith, LLC has important tips for you about setting aside money for your retirement in an Individual Retirement Arrangement. 1. You must be under age 70 1/2 at the end of the tax year in order to contribute to a traditional IRA. 2. You must have taxable compensation to contribute to an IRA. This includes income from wages, salaries, tips, commissions and bonuses. It also includes net income from self-employment. If you file a joint return, generally only one spouse needs to […]
  • TAXSMITH, LLC – Don’t Forget to Take Your Retirement Credit – AKA the Saver’s Credit! - Saving for your retirement can make you eligible for a tax credit worth up to $2,000. If you contribute to an employer-sponsored retirement plan, such as a 401(k) or to an IRA, you may be eligible for the Saver’s Credit. Here are seven points that Taxsmith and the IRS would like you to know about the Saver’s Credit: The Saver’s Credit is formally known as the Retirement Savings Contribution Credit. The credit can be worth up to $2,000 for married […]
  • Taxsmith, LLC – What To Do With Children Who Have Investment Income? - Some children receive investment income and are required to file a federal tax return. If a child cannot file his or her own tax return for any reason, such as age, the child’s parent or guardian is responsible for filing a return on the child’s behalf. There are special tax rules that affect how parents report a child’s investment income. Some parents can include their child’s investment income on their tax return. Other children may have to file their own […]
  • TAXSMITH, LLC – What Medical and Dental Benefits Can I Claim On My Federal Tax Return? - If you paid for medical or dental expenses in 2012, you may be able to get a tax deduction for costs not covered by insurance. Here are some quick tips from Taxsmith and the IRS… 1. You must itemize.  You can only claim medical and dental expenses for costs not covered by insurance if you itemize deductions on your tax return. You cannot claim medical and dental expenses if you take the standard deduction. 2. Deduction is limited.  You can deduct medical […]
  • TAXSMITH, LLC – Unemployment Benefits and Filing Your Federal Tax Return - If you received unemployment benefits this year, you MUST report the payments on your federal income tax return. Here are four tips from Taxsmith attorneys and the IRS about unemployment benefits… 1. You must include all unemployment compensation you received in your total income for the year. You should receive a Form 1099-G, Certain Government Payments. It will show the amount you were paid and the amount of any federal income taxes withheld from your payments. 2. Types of unemployment benefits include: […]
  • TAXSMITH, LLC – Unemployment Benefits and Filing Your Federal Tax Return - If you received unemployment benefits this year, you MUST report the payments on your federal income tax return. Here are four tips from Taxsmith attorneys and the IRS about unemployment benefits… 1. You must include all unemployment compensation you received in your total income for the year. You should receive a Form 1099-G, Certain Government Payments. It will show the amount you were paid and the amount of any federal income taxes withheld from your payments. 2. Types of unemployment benefits include: […]