by Leif Jensen | Oct 9, 2024 | Taxes |
The U.S. tax system operates on a pay-as-you-earn basis, requiring taxes to be paid as income is received. For employees, employers typically manage this through withholding. However, for those without automatic withholding, such as the self-employed, estimated tax...
by Leif Jensen | Sep 23, 2024 | Taxes |
If you file your U.S. tax return late, you may face two primary penalties: the late filing penalty and the late payment penalty. The late filing penalty is 5% of the unpaid taxes for each month or part of a month that your return is late, up to a maximum of 25%. If...
by Leif Jensen | Sep 18, 2024 | Taxes |
IRS updates draft version of Form 1099-DA, Digital Asset Proceeds From Broker Transactions; requests comments on form planned for 2025 The Internal Revenue Service today posted an early draft of the updated Form 1099-DA, which is the form for brokers to report certain...
by Leif Jensen | Sep 11, 2024 | Taxes |
Normally, the passive loss rules bar deducting rental real estate losses. But there are two exceptions. The first is for real estate professionals who spend more than 50% of their working hours and over 750 hours each year materially participating in real estate as...
by Leif Jensen | Sep 9, 2024 | Taxes |
The income tax burden on high-incomers rose for 2021, per IRS statistics. The top 1% of individual filers paid 45.78% of all U.S. federal income taxes… up from 2020’s figure of 42.31%. They reported 26.3% of total adjusted gross income. Filers needed AGIs of at least...
by Leif Jensen | Sep 4, 2024 | Taxes |
Most individual tax provisions in the 2017 tax reform law expire after 2025. They include tax rates and bracket changes, higher standard deductions, repeal of personal exemptions, the $10,000 cap on deducting state and local taxes on Schedule A, and others that we...
