Posts Tagged ‘Income’

How Could A Carbon Tax Replace The Income Tax?

October 17th, 2009 by admin | 1 Comment | Filed in life logistics

If the US wanted to finance the federal government entirely thru a carbon tax (or oil tax or gasoline tax), how high a tax rate would be needed to finance the government and replace the income tax and all other revenues? How much would that add to cost of a gallon of gasoline?

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5 Good Reasons to File an Income Tax Extension

October 14th, 2009 by admin | No Comments | Filed in life logistics

With not much time remaining until the April 15 IRS income tax deadline, many Americans are scrambling to finalize their income tax returns. This year, a growing percentage of taxpayers will choose to file an IRS income tax extension, which will postpone their tax deadline to October 15.

If you’re considering filing an income tax extension, you’re not alone. The IRS recently estimated that 10.2 million of the 140 million tax filers will file for a tax extension this year. What’s more, approximately 2 million of those extensions will be electronically filed online.

File Later tax extension service - a popular website where taxpayers can file their income tax extension - compiled the following list of reasons why taxpayers should consider joining the growing trend of taxpayers filing a tax ex tension rather than stress about getting their returns completed by April 15.

Although the IRS doesn’t care (or ask) why millions of taxpaying Americans file for extensions every year, you may find these valuable:

1. Accountants and tax professionals are much busier in April than they are in October. Getting the proper amount of time with an accountant gets harder and harder the longer you wait leading up to April 15. Extending your income tax deadline to October 15 will give your accountant or tax pro that extra time to focus on your tax return, which may mean extra tax savings in your pocket.

2. Filing an income tax extension may reduce your chance of audit. IRS auditors have quotas they need to meet every year on the number of returns audited. Returns are sorted for auditors by filing date, and most auditors will have met their quotas before they get to extended returns.

3. Getting paperwork together to complete your taxes isn’t easy. Organizing that shoebox of W2s, 1099s, mortgage interest statements, and receipts can take longer than you expect. Giving yourself the extra time needed will ensure you’re taxes are done right, and extending will give you extra time to track down any additional deductions so you’re getting the biggest tax return possible.

4. For business owners, funding retirement plans such as Simplified Employee Pensions (SEPs) or SIMPLE IRA’s can be expensive. Filing for an income tax extension will also extend your deadline to fund these types of retirement plans.

5. It’s easy. Your income tax extension can be filed in less than 10 minutes using an online provider like File Later. The process is completely paper-free, and your extension will be e-filed, meaning you’ll get an email confirming the IRS has approved your extension, and you’ll have 6 more months to finalize your tax return.

And remember, even though you may be interested in the reasons to extend your income tax return, the IRS doesn’t care or ask. As long as your application is filed correctly, your extension will be granted by the IRS and your new tax deadline will be October 15.

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File Later, provides a secure online solution for those individuals seeking to e-file an IRS tax extension (also known as IRS Form 4868). http://www.filelater.com

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Federal Income Tax Examples & Explanations

October 11th, 2009 by admin | 2 Comments | Filed in life logistics

Federal Income Tax Examples & Explanations
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What Does This Tax Question Mean? If You Paid State & Local Income Taxes In 2007 For A Prior Year?

October 5th, 2009 by admin | 3 Comments | Filed in life logistics

“If you paid state and local income taxes in 2007 for a prior year (such as taxes paid in 2007 as a balance due on your 2006 state income tax return), include this amount as other state and local income taxes paid.
Other state and local income taxes: $____”
While filing online, I got an alert here. I did not enter anything in. What exactly is the question asking?

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J.K. Lasser’s Your Income Tax 2009: For Preparing Your 2008 Tax Return

October 2nd, 2009 by admin | 3 Comments | Filed in life logistics

J.K. Lasser's Your Income Tax 2009: For Preparing Your 2008 Tax Return

J.K. Lasser’s Your Income Tax 2009–the nation’s all-time top-selling tax guide–is a proven, accessible resource with important strategies, useful recommendations and of course, all the latest tax law changes. With over 39 million copies sold, Your Income Tax 2009 is the #1 choice for taxpayers around the country.

From the Back CoverBasics of Filing (Chap. 1) including: Which form to file – Chap. 1 Filing as Head of Household – Chap. 1 Filing for your children – Chap. 1 Filing for married couples – Chap. 1 What Must You Report as Income? (Chaps. 2–11) including: Fringe Benefits – Chap. 3 Capital gains & losses – Chap. 5 Traditional & Roth IRAs – Chap. 8 R [Read More...]

Buy J.K. Lasser’s Your Income Tax 2009: For Preparing Your 2008 Tax Return at Amazon

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J.K. Lasser’s Your Income Tax 2009: For Preparing Your 2008 Tax Return

September 17th, 2009 by admin | 3 Comments | Filed in life logistics

J.K. Lasser's Your Income Tax 2009: For Preparing Your 2008 Tax Return

J.K. Lasser’s Your Income Tax 2009–the nation’s all-time top-selling tax guide–is a proven, accessible resource with important strategies, useful recommendations and of course, all the latest tax law changes. With over 39 million copies sold, Your Income Tax 2009 is the #1 choice for taxpayers around the country.

From the Back CoverBasics of Filing (Chap. 1) including: Which form to file – Chap. 1 Filing as Head of Household – Chap. 1 Filing for your children – Chap. 1 Filing for married couples – Chap. 1 What Must You Report as Income? (Chaps. 2–11) including: Fringe Benefits – Chap. 3 Capital gains & losses – Chap. 5 Traditional & Roth IRAs – Chap. 8 R [Read More...]

Buy J.K. Lasser’s Your Income Tax 2009: For Preparing Your 2008 Tax Return at Amazon

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What Is The Difference Between An Income Tax And A Payroll Tax?

September 5th, 2009 by admin | 1 Comment | Filed in life logistics

What is the difference between an income tax and a payroll tax?
A. Income taxes reduce the demand for harmful goods while payroll taxes don’t affect this demand.
B. Income taxes are collected based on income while payroll taxes are collected based on wealth.
C. Income taxes are used for a wide variety of government activities while payroll taxes pay for specific programs.
D. Income taxes increase the purchasing power of the government while payroll taxes increase the purchasing power of workers.

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