Before you start investing in crypto, you need to understand the tax implications associated with it. Cryptocurrency tax laws aren’t fully established as of yet, and regulations regarding this brand new asset class are changing all of the time. One thing is certain, though. You will need to pay taxes on cryptocurrency investments when you…
Category: Finance
Are Tax Return Preparation Fees Tax Deductible?
1 in 3 Americans procrastinate when it comes to doing their taxes. The most common reason for procrastination is that filing taxes is too time-consuming and complicated. But with tax day less than two months away, it’s best to begin your tax return preparation now. Tax laws and regulations change from year to year, so starting now will…
Tax Amendment: What Is an Amended Tax Return?
Taxpayers in the U.S. pay an average of $15,322 each year to the IRS. Doing taxes can be a tricky endeavor indeed, particularly if your financial situation is more complicated than simply having a W-2 job. It’s essential to pay the right amount in taxes in order to escape severe consequences. However, no one wants to pay…
An In-Depth Guide to Itemized Deductions
Most of you have seen questions on your tax forms or preparation software that asks whether you want to take the standard deduction or if you want to itemize. From there, you likely asked yourself what standard and itemized deductions are. We are here to answer that question and help you figure out when to…
Is a Student Loan Tax Deductible?
Did you know that the total amount of student debt in the U.S. is $1.73 trillion? The national average for student loan debt is $28,950. Many Americans choose to invest in their education in order to have more opportunities in the future. However, higher education has been getting more and more expensive over the years. In…
What Is a Tax Break?: The Facts, Explained
In the US, the top personal income tax rate is 37%. No matter your tax bracket, however, you can save on annual taxes with tax breaks. With tax breaks, you can reduce your yearly tax liability. However, you may wonder, “What is a tax break?” Keep reading to learn more about tax breaks and a few…
Making Money At Home (9 Proven Home Based Businesses)
More and more, especially with the Covid-19 pandemic, people are finding ways to making money at home and online. Currently, 45% of full-time workers work remotely at least some of the time. Well, what if we were to tell you that anyone can earn money online, and not just the people whose jobs allow for it. Believe it…
What Is the Standard Deduction? Everything You Need to Know
If you’re reading this, you’re probably surrounded by piles of paperwork, crumpled receipts, and a series of tax forms that seem to be in another language. It can be tempting to knock the whole pile right off of the desk and simply apply for a standard deduction for 2021. Why wouldn’t you choose the easiest option when…
What Is the Savers Credit and How Does It Work?
Imagine you lived as frugally as possible to put money away for retirement. You deserve a little something for that effort, and that prize could be the savers credit. Not everyone will qualify for it, but if you do, it may help you save on your taxes. Then, you can work on other financial goals,…
Foreign Tax Credits: A Complete Guide
In a single year, taxpayers pay more than $1.6 billion in personal income tax. For instance, you may invest in foreign income-producing bonds, mutual funds, or stocks. If so, it’s likely you paid foreign taxes on the income. However, what if you could avoid getting taxed a second time on your US tax return? You can do…