Below are answers to some basic questions about the new 20-percent deduction for pass-through businesses. Also known as the section 199A deduction or the deduction for qualified business income, the deduction was created by the 2017 Tax Cuts and Jobs Act. Q1. What is the Qualified Business Income Deduction? A1. Section 199A of the Internal Revenue Code provides many...
Read MoreBeginning on Jan. 1, 2019, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be: 58 cents per mile driven for business use, up 3.5 cents from the rate for 2018, 20 cents per mile driven for medical or moving purposes, up 2 cents from the rate for 2018, and 14 cents per mile driven in service of charitable organizations. The...
Read MoreNow that school’s out, many students will be starting summer jobs…from working at a summer camp to being an office intern. The IRS reminds students that not all the money they earn may make it to their pocket. That’s because employers must withhold taxes from the employee’s paycheck. Here are a few things these workers need to know when starting a summer job: New...
Read MoreThe IRS has seen an increasing number of taxpayers subject to estimated tax penalties, which apply when someone underpays their taxes. The number of people who paid this penalty jumped from 7.2 million in 2010 to 10 million in 2015, an increase of nearly 40 percent. The penalty amount varies, but can be several hundred dollars. The IRS urges taxpayers to check into...
Read MorePay Your Taxes Now Pay with your bank account for free, or choose an approved payment processor to pay by credit or debit card for a fee. Also available at the IRS2Go app. View Your Balance and Payment History View your account information, such as the amount you owe and payment history, securely online. Penalties and interest may apply to money you owe after April...
Read MoreIf you use one of the many online platforms available to rent a spare bedroom, provide car rides, or to connect and provide a number of other goods or services, you’re involved in what is sometimes called the sharing economy. An emerging area of activity in the past few years, the sharing economy has changed how people commute, travel, rent vacation accommodations...
Read MoreThe Internal Revenue Service provided information to taxpayers and employers about changes from the Tax Cuts and Jobs Act that affect: Move related vehicle expenses Un-reimbursed employee expenses Vehicle expensing Changes to the deduction for move-related vehicle expenses The Tax Cuts and Jobs Act suspends the deduction for moving expenses for tax years beginning...
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