The Internal Revenue Service (IRS) has the authority to audit tax returns for up to three years after the filing date or two years after the tax was paid, whichever is later. However, there are certain exceptions to this rule, and the IRS may audit returns further back in some cases. Exceptions to the Three-Year … Read more
Yes, you can claim dental expenses on tax in Australia if they meet specific criteria set by the Australian Taxation Office (ATO). Eligible Dental Expenses The ATO allows you to claim the following dental expenses: Payments to dentists, orthodontists, licensed dental mechanics, opticians, and optometrists Dental procedures directed by a doctor Prescribed medical aids Artificial … Read more
Tax season is upon us, and with it comes the opportunity to maximize your tax refund. By understanding the various strategies available, you can significantly increase the amount of money you receive back from the IRS. This comprehensive guide will provide you with actionable steps and expert advice to help you optimize your tax return … Read more
Navigating IRS Audit Timelines and Procedures The prospect of an IRS audit can be daunting, leaving taxpayers with a myriad of questions and concerns. One of the most pressing inquiries is the timeline associated with the audit process, particularly the duration between filing taxes and receiving an audit notification. This article delves into the intricacies … Read more
Selling a second home can be a financially rewarding endeavor, but it’s crucial to be aware of the potential capital gains tax implications. Understanding the available strategies to reduce these taxes can help you maximize your profits and minimize your tax burden. Understanding Capital Gains Tax on Second Homes When you sell a second home, … Read more
Navigating the complexities of tax deductions can be daunting, especially when it comes to medical expenses. One common question that arises is whether vitamins are tax deductible. This article delves into the intricacies of medical expense deductions, providing a comprehensive overview of what qualifies, what doesn’t, and how to maximize your deductions. Understanding Medical Expense … Read more
Budgeting is a fundamental aspect of personal finance that empowers individuals to take control of their financial resources, prioritize their spending, and achieve their financial goals. For beginners, the prospect of creating a budget can seem daunting, but with the right guidance and a systematic approach, it can be a transformative tool for financial well-being. … Read more
Social Security benefits provide a vital source of income for millions of Americans, particularly during retirement and periods of disability. However, it’s crucial to understand that a portion of these benefits may be subject to federal income tax, depending on an individual’s income and filing status. This guide will delve into the intricacies of Social … Read more
Filing taxes can be a daunting task, and it’s easy to make mistakes. One common mistake is forgetting to report a W-2. If you make this mistake, you could face penalties from the Internal Revenue Service (IRS). Penalties for Not Reporting a W-2 The IRS imposes penalties on employers who fail to file W-2s for … Read more
Yes, the IRS can seize your IRA or 401(k) for back taxes. However, there are rules about how much the agency can take at once. The IRS may also seize pension money you have a right to receive now or in the future, known as vested pension rights. What Kinds of Accounts Can the IRS … Read more