Tax Blog

For years the only way you could do your taxes was by finding the right forms and having them sent to you in the mail or driving somewhere to get them. Then you had to fill them out and send them in through the regular mail. There are still a lot of people who prefer to do their taxes this way but now there is also a new way. You can now get onto the internet and find online tax forms.
You can find the correct online tax forms that you need and then print them out to complete them or you can fill them out online. When you want to fill out the online tax forms and then send them in, you will need to find an approved website. This means that there are only certain sites that have been approved to be able to send in your taxes for you.
You will need to check on the IRS website and the state website of where you live to find out about the approved sites. Once you find an approved site you will be able to fill out the online tax forms with just a few clicks of the mouse. Once you have the online tax forms filled out you will be able to just click a button to have it sent to the correct place.
You want to make sure that you print out a copy of your taxes or save them somewhere on your computer. That way you still have a copy of the online tax forms in case you should ever need them.
It is important that you find the right online tax forms that you need. You don’t want to send in the wrong ones or you will have to just fill out the correct ones and send them in. So you may need to do some research to find the correct online tax forms.
Doing your taxes online is becoming more popular every year because it is so much easier to do then the old way. It will still take you some time to get them completed but not nearly as much as usual. One thing that you may want to do is to have all of your information on hand so that you can do your taxes online faster.
The more prepared you are the easier it will be for you. So take the time to get your tax information together, than find the online tax forms that you need, then fill them out and send them in. That way you will be able to get them done and not have to think about it for another year.

When you are good at math and following directions, there are a lot of career fields that open up for you.  Although most people would like to think that the math they learned in high school was pointless, that is simply not true.  Plenty of professions use math, including architects, bankers, and accountants.  Another profession that uses a lot of math is tax preparing.  Although this is usually a seasonal job, there is a lot of money in tax preparing and plenty of companies that are always looking for new people to hire.  If you like following directions are good with people, computers, and math, then you are very much suited for a career in tax preparing.  Now all you need is the education.  Tax preparation isn’t easy.  There are a lot of things that you need to know so that you can do the taxes of all sorts of clients and businesses.  Because of this, you should look into taking some tax preparation courses.  Surf the internet to see if there are any centers near you that teach tax preparation courses.  This way, you can go to a physical location and meet with real teachers.  Then, when you get stuck or have a question, you can ask a real person. 

If there aren’t any tax preparation courses that are being taught near you, you have some other options.  For instance, there are websites on the internet that provide tax preparation courses.  You should look at different websites that offer this because some will definitely be better than others.  You want to work with a website that has good clean information that is easy to read and understand.  Then, with that, you can know as much about this exciting career field as you possibly can.  You should also watch for prices when it comes to these courses.  Some websites will require that you pay while others will have the courses for free.  Even if you decided to learn from a pay site, you should check out the free sites too.  After all, it doesn’t hurt to learn even more information. 

Another way to take tax preparation courses is to get hired at a company first.  If you work with a large chain tax preparing company, they will likely have free courses for their employees to take.  These courses will be run by the company.  They will also usually have people who have already taken courses keep taking them throughout their career.  This is because tax law changes often and you need to keep abreast of what is going on. 

Dear Friends,

Some of us are looking forward to the election, and with that in mind think, that now it’s essential to be a little extra carefull with our planning ahead………………

All over the media, you hear all the time about how you should be protecting your finances and investing your money.  There are scores of books out there on the subject.  They tell you how to save up money so that you have a good retirement.  Something that they often leave out, though, is the importance of tax planning.  Your taxes can have a great affect on the kind of money you have throughout the year.  Here is a good example.  Let’s say you always put off handling your taxes until the last minute.  The night before they are due, you scramble to fill out the forms so that you can get them out on time.  You end up paying several thousand dollars in taxes every year.  The way you are haphazardly preparing your taxes means that you are probably missing out on ways to save money.  You could be giving a lot more money in taxes than you need to.  If you had good tax planning throughout the year though, you wouldn’t run into this problem.  Although it may sound like a scary and time consuming prospect, it is still a wise decision to put this kind of effort into your taxes.  The more that you prepare, the better off you will be.  This analogy even works for people who get the tax refund.  You could possibly be getting more money than what you file for.  it is just a better idea to instill tax planning practices so that you can have a great monetary life. 

Good tax planning happens all year round, not just during the time you file your taxes.  For starters, you should be saving any receipts that may count as deductions on your taxes.  Even if you currently don’t itemize your deductions, you never know how you’ll feel in a year’s time.  It is better to do the little extra effort so that you can make sure that everything works out in your favor.  Another thing that you should do is use some expense tracking software.  This is a good idea because you can keep track of your spending while also being very prepared just in case you ever get audited.  Regular people get audited all the time, even if their tax forms aren’t fishy at all.  The IRS does random audits every year, and you could potentially be one of them.  If you do great tax planning throughout the year, then you won’t really need to worry, though.  You will be able to show the auditor all of your information in a concise way and they will know that your tax forms were legitimate. 
Best wishes

Bo Larsen

Heavy questions,  hitting around the globe from Miami to Madrid. From Boston to Berlin.

Personally, I want to thank the americans for making a plan for “rescuing” both Banking-systems and people from more evil than neccessary.

Thank you

Bo Larsen

Be sure to visit the Mortgage sites:

http://mortgage.wheneveryouwantthis.com

http://foreclosure.wheneveryouwantthis.com

http://debt-refinance.wheneveryouwantthis.com

 PS: I know the sites should have been named “wheneveryoudontwantthis.com”!

Tax professionals are the first to tell you that the best way to not pay taxes is to plan not to pay taxes.  Start planning on January 1st (or wherever you are right now) on ways that you can save your taxes.  This includes everything from planning your expenses properly to keeping those receipts handy.  Many find that the best way to do this is through a tax professional that can work side by side with your business.
What’s more, if you personally stay up to date on what is considered a deduction or the new taxes that head to Congress every year, then you can make better decisions for your business every day.  The best way to do that is simply by picking up the finance section of the paper and reading it.  It can be that simple to reduce your taxes significantly.

Time passes; what is true timing one day, is not the next. What is investment today, is not tomorrow. What is solid today, is maybe fragile tomorrow. The consequences of greed is now to be seen, and it is not to the benefit of you or me.

Though, I cannot excuse the timelap from my last blogpost and up to now, but to reassure that facts about the tax-system are not altered very much since october 2007. So inspite of the present hard times, the tax-facts are still the same, and you need to know.

So, welcome again.

Bo

New York State Income Taxes range from 4 to 6.85 percent based on the following categories:

1) Personal income tax
New York state taxes for personal income use a progressive, five-bracket system.

For single taxpayers:
- 4% on the first $8,000 of taxable income
- 4.5% on taxable income between $8,001 and $11,000
- 5.25% on taxable income between $11,001 and $13,000
- 5.9% on taxable income between $13,001 and $20,000
- 6.85% on taxable income of $20,001 and above.

For married persons filing joint returns, the rates are the same but the income brackets are doubled.  New York income tax forms are due on April 15, but if this date falls on a weekend or holiday, payment can be done the following working day. New York City has its own tax rates brackets. The state’s earned income credit has increased to 30 percent of the federal credit. This credit helps taxpayers offset increases in living expenses and Social Security taxes. It also reduces taxes owed and in some cases, it can even allow a refund to filers who do not owe any tax.

2) Sales tax
On June 1, 2005, New York’s additional 0.25 percent sales and use tax rate has expired and it lowered the New York state taxes rate on sales to 4 percent. Local rates vary and in some areas, the combined sales tax rate in can be more than 7 percent.

3) Personal and real property taxes
Real property in New York is taxed based on its value. Counties, cities, towns, villages, school districts and special districts raise money through the real property tax to pay for local services. The amount of a property’s tax bill is determined by the property’s taxable assessment and the tax rates of the taxing jurisdictions where the property is located. The law on New York State Taxes enables properties in most municipalities to be assessed at under the same value percentage. That percentage can be 5 percent, 10 percent, 50 percent or any other percentage not exceeding 100 percent.

4) Inheritance and estate taxes
New York has no inheritance tax. The state has decided to discontinue its estate tax link to the federal estate tax. This means that New York estate tax liability will be larger than the allowable federal credit for state death taxes.

Other facts on New York State Taxes:

The status of New York State Taxes can be checked using the New York State Department of Taxation and Finance’s online refund tracker. New York taxpayers can learn about their rights in Publication 3.8.

Know the steps to file state taxes
Do you need help on how to file state taxes? Here are the basic steps you need to know about how to file state taxes.

Note that the there is now what we call the e-file where Federal/State taxes can be filed electronically or online. The IRS and the state tax administration agencies have combined efforts to enable taxpayers to file their taxes online. It can be done through tax professionals and in most states, conveniently filing it through your computer at home. Note that the following states participate in the Federal/State e-file:

• Alabama
• Arizona
• Arkansas
• Colorado
• Connecticut
• Delaware
• District of Columbia
• Georgia
• Hawaii
• Idaho
• Illinois
• Indiana
• Iowa
• Kansas
• Kentucky
• Louisiana
• Maryland
• Michigan
• Mississippi
• Missouri
• Montana
• Nebraska
• New Jersey
• New Mexico
• New York
• North Carolina
• North Dakota
• Ohio
• Oklahoma
• Oregon
• Pennsylvania
• Rhode Island
• South Carolina
• Utah
• Vermont
• Virginia
• West Virginia
• Wisconsin

At the same time free e-file is provided for taxpayers who have a gross income of $52,000 or less.

This Federal/State e-file allows electronic filing for both the Federal and State income tax returns in one filing. They make use of a software program which places data for Federal and State returns in separate packets but in one envelope when transmitted to the IRS. IRS receives it for the state and in turn forwards it to the state for processing the electronic return.

The benefits of electronic file state taxes are as follows:

• Faster receipt of refund
• Faster processing
• More accurate
• Convenience
• You retain proof of filing

Now, if you’d like to file state taxes directly, you have two options. You can hire a tax professional to complete your tax return forms or you can do it on your own using a tax software program or manually filling up your tax forms.

The problem with completing your own tax form is that you may not be fully aware of the possible deductions and credits that you can claim in your state. Various states have different laws and rates and such a tax professional will be the best resource to find out about it. Tax professionals not only help you file your tax forms. They also help in finding deductions and credits because they are knowledgeable about the tax laws that pertain to your state. They help you in maximizing your tax returns for just around $100 to $150 fee for their service.

What Are Personal Property Taxes?

When most of us think of property taxes, we think of the taxes we pay on our home and the property it’s built on. These taxes can be quite large, depending upon the area of the country in which you live, and the funds generally go to support the local government’s budget. But in most states, you’re paying personal property taxes, too. These are taxes on other large items you own, like automobiles, boats, motorcycles, recreational vehicles, aircraft and utility trailers most notably.

Personal property taxes are assessed by the state where the vehicle or other item is registered. Different states use different methods of collection. For example, in some states, you pay one year’s worth of property tax on a vehicle when you register it, and then each year you’ll pay property tax when you renew your license plate. In some states, all license plates are renewed in January, but in other states the renewal date falls on the birthday of the individual to whom the vehicle is registered, so in those states, personal property taxes are being collected all year long. Some states collect personal property taxes once each year, sending out a tax bill to residents for all their personal property at one time.

The rate charged for personal property taxes also varies by state, but it is generally based on the value of the item registered. With cars and trucks the value used for calculating personal property taxes is generally the NADA blue book value.

In most states, personal property taxes are used to fund the budget of the Department of Motor Vehicles, and possibly other state or local governments. Your personal property taxes may go to help pay the salaries of the DMV workers, as well as for building space, and other supplies.

In most states, the term “personal property taxes” is used to mean the taxes described above. However, in some states, this term is also used to refer to real estate property taxes. However, regardless of the terminology used, in most states, these two types of taxes are different, and the funds are used differently.

Property taxes charged on your home and any other property you own generally funds your county or city government, where the money goes to pay for schools, roads, local government and police and fire support. Many people pay both city and county property taxes. Property taxes paid on vehicles, boats, etc, as listed above, however, generally always fund your state, not your local government.

We can’t avoid paying property taxes, and they’re important for funding the budgets of our state and local areas. But, it’s helpful to know how much you’re paying and exactly where your tax money is going.

What Are Personal Property Taxes?

When most of us think of property taxes, we think of the taxes we pay on our home and the property it’s built on. These taxes can be quite large, depending upon the area of the country in which you live, and the funds generally go to support the local government’s budget. But in most states, you’re paying personal property taxes, too. These are taxes on other large items you own, like automobiles, boats, motorcycles, recreational vehicles, aircraft and utility trailers most notably.

Personal property taxes are assessed by the state where the vehicle or other item is registered. Different states use different methods of collection. For example, in some states, you pay one year’s worth of property tax on a vehicle when you register it, and then each year you’ll pay property tax when you renew your license plate. In some states, all license plates are renewed in January, but in other states the renewal date falls on the birthday of the individual to whom the vehicle is registered, so in those states, personal property taxes are being collected all year long. Some states collect personal property taxes once each year, sending out a tax bill to residents for all their personal property at one time.

The rate charged for personal property taxes also varies by state, but it is generally based on the value of the item registered. With cars and trucks the value used for calculating personal property taxes is generally the NADA blue book value.

In most states, personal property taxes are used to fund the budget of the Department of Motor Vehicles, and possibly other state or local governments. Your personal property taxes may go to help pay the salaries of the DMV workers, as well as for building space, and other supplies.

In most states, the term “personal property taxes” is used to mean the taxes described above. However, in some states, this term is also used to refer to real estate property taxes. However, regardless of the terminology used, in most states, these two types of taxes are different, and the funds are used differently.

Property taxes charged on your home and any other property you own generally funds your county or city government, where the money goes to pay for schools, roads, local government and police and fire support. Many people pay both city and county property taxes. Property taxes paid on vehicles, boats, etc, as listed above, however, generally always fund your state, not your local government.

We can’t avoid paying property taxes, and they’re important for funding the budgets of our state and local areas. But, it’s helpful to know how much you’re paying and exactly where your tax money is going.