If you have kids going to college or you or your spouse is going for a degree, there are two education tax credits that can really help you recoup some of those education costs with reduced credits. http://content.govdelivery.com/accounts/USIRS/bulletins/f4e525?reqfrom=share The American Opportunity Credit is a better credit than the Lifetime Learning Credit in that up to $1000 of that credit is actually refundable, while none of the Lifetime Learning Credit is refundable, plus there is an extra $500 of credit from the American Opportunity Credit. Either credit will help you pay some of your college expenses, though. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa
Tax Musings of a Burbank CPA: Five Key Facts about Unemployment Benefits
If you were unemployed last year you probably got unemployment benefits from your state or other locality. See this IRS tip about unemployment benefits: http://content.govdelivery.com/accounts/USIRS/bulletins/f4e36c?reqfrom=share The two most important things are that the benefits are federally taxable (usually not state taxable) and you can elect to have federal income tax withheld from the benefits. This is important if you are still on unemployment benefits in the current year and want to avoid owing income taxes at this time next year. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa
Burbank CPA Tax Musings: Does the Net Investment Income Tax Apply to You?
In case you have forgotten from last year, to help finance the Affordable Care Act a new investment tax of 3.8% was instituted on investment income if you made over a certain amount of income. See this tip from the IRS about ways to see if you may owe this tax for the 2014 tax year: http://content.govdelivery.com/accounts/USIRS/bulletins/f36b11?reqfrom=share The income limitations are on the IRS tip. Remember if you are over the income thresholds, the tax is calculated on the LESSER of your investment income or the amount by which you are over the threshold. This is always fun to calculate (and even more fun to plan for) so remember to discuss this with your tax preparer (or if you do your own taxes, make sure to include it if you have enough income.) For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa