TurboTax offers a free version of its tax software for Canadians with simple tax situations. This includes individuals who have a single income, no dependents, and no complicated deductions or credits. The free version allows users to file their taxes online or by mail. However, there are some limitations to the free version. For example, … Read more
The Tirumala Tirupati Devasthanams (TTD) is a Hindu temple administration board that manages the Tirumala Venkateswara Temple in Tirupati, Andhra Pradesh, India. TTD is a statutory body and is not liable to pay income tax under the Income Tax Act, 1961. This is because TTD is considered a religious institution and its income is used … Read more
When you make changes to your original tax return through an amended tax return, it’s typically not required to send it physically through the mail. Instead, you can electronically file your amended return using tax software or directly through the IRS website. E-filing is more convenient and ensures your return is processed faster than mailing … Read more
Tax-deductible donations are contributions made to qualified organizations that reduce your taxable income. These organizations typically include charities, religious groups, educational institutions, and scientific research entities. The types of donations that qualify for tax deductions vary depending on the organization, but generally include cash, property, and certain services. It’s important to consult with a tax … Read more
Payroll Tax Deferment is a temporary suspension of collecting social security tax from employee paychecks. This means employees will have more money available in their paychecks. However, the taxes are not forgiven; they will need to be paid back between January 1, 2021, and April 30, 2021. Payroll Tax Deferment is an attempt to help … Read more
Employers are required to withhold various types of taxes from employees’ paychecks. These taxes include federal income tax, Social Security tax, Medicare tax, and state income tax (if applicable). Federal income tax is based on the employee’s taxable income and is used to fund government programs and services. Social Security tax and Medicare tax are … Read more
California follows the residence-based taxation principle, meaning it only taxes income earned within the state. As municipal bonds are considered income, California residents are not subject to taxation on out-of-state municipal bonds they own. This is because the interest earned on these bonds is not considered California-sourced income. However, if a non-resident invests in California … Read more
Peconic Bay Tax is a regional tax imposed on properties within the Peconic Bay watershed on Long Island, New York. It is paid by property owners in the towns of Southold, Riverhead, Southampton, East Hampton, and Shelter Island. The tax is used to fund water quality improvement projects in the Peconic Bay estuary. The amount … Read more
A gift card, like a cash gift, is not considered taxable income for the recipient. The reason is that a gift card is a form of payment, similar to cash or a check. When you receive a gift card, you are not receiving income, but rather a means to purchase goods or services. Therefore, the … Read more
If you took a coronavirus-related distribution from your retirement account, be aware that you have a short window to repay the funds or you’ll owe taxes on the distribution. For 2020 distributions, you have until August 31, 2023 to return the funds to your retirement account. For 2021 distributions, you have until October 15, 2024 … Read more