10 Ways to Identify IRS Scams
10 Ways to Identify IRS Scams There are many IRS scams that are out there. Learning red flags can help you spot scams and avoid them. In this article, we will go over 10 ways to identify IRS scams. 1. They’re Calling You First First contact from the IRS will always be through the mail. They will never initiate contact with a phone call. If you are getting calls from people claiming to be [...]
Business Tax Classifications
Business Tax Classifications There are several different types of business tax classifications that you can choose from with the IRS. Which one you decide to implement will have a large effect on your taxes, so it is important that you understand how they all work. In this article, we will go over the four business classifications. These include sole proprietorship, partnership, S corporation, and C corporation. Sole Proprietorship A sole proprietorship is owned and [...]
Taxes for Freelancers-Made Simple
Taxes for Freelancers-Made Simple Taxes for freelancers can seem foreign and overwhelming. There are many moving parts that need to come together. In this article, we will go over the basics of taxes for freelancers. The Basics If you earn more than $400 in freelance/self-employment income you must report this on your taxes as income. The tax rate you will pay will depend on your total income for the year. However, freelancers, as self-employed [...]
Filing Taxes as an American Expat
Filing Taxes as an American Expat Filing taxes as an American expat can feel very confusing and overwhelming. If you are a United States citizen, you have a tax obligation to the United States. In this article, we will go over the basics of filing taxes as an American expat. Paying Taxes When You Live Abroad If you make foreign income and meet certain income thresholds you could be subject to paying U.S. taxes. [...]
Capital Gains on Home Sales
Capital Gains on Home Sales A home is a capital asset, this means you can owe capital gains on home sales. In this article, we will go over what capital gains tax is, and how you can avoid it. How It Works If you sell a home for profit, you will owe capital gains tax on that profit. For example, if you bought a home for $250,000 and sold it for $300,000 you could [...]
5 Tips to Help You Survive an Audit
5 Tips to Help You Survive an Audit Finding out you are the subject of an audit can be stressful and scary. But there is some basic information that can help make this process easier. In this article, we will go over 5 tips to help you survive an audit. It Does Not Mean You Have Done Something Wrong Being the subject of an audit doesn’t mean they are accusing you of wrongdoing. An [...]