With October 15 behind us and April 15 still comfortably far away, it’s a good time to start boning up on ways to save money once things start getting serious. With that in mind, Bankrate.com identified 10 great deductions that individual taxpayers should use – but often forget. 1. Charitable expenses Sure, the donation is …
Category: Tax Planning
Studying a Paradox: When Higher Tax Rates HELPED the Economy
My Comments: OK, if you can’t stand reading about economics, then skip this blog post. On the other hand, if you have concerns about the economy and whether your vote in the upcoming election will have any influence on the amount of money you have to spend ten years from now, then you might want …
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Exploring Mitt Romney’s Taxes and Tax Plan
My Comments: There’s really nothing I can add to this. Bruce Bartlett held senior policy roles in the Reagan and George H.W. Bush administrations and served on the staffs of Representatives Jack Kemp and Ron Paul. He is the author of “The Benefit and the Burden: Tax Reform – Why We Need It and What …
IRS Exams: What They Mean for Taxpayers
My Comments: Right now is a relatively quiet time for those individuals and firms who make a living doing tax returns. Everyone I know, and I know many of them, have a lump in their throat when they think about January and the coming year. That's when the rubber hits the road and most, if …
If Taxes Rise, Should You Form An LLC or Incorporate?
My Comment: I was asked a similar question the other day, posed by a distant cousin in England. You have an idea for a business enterprise and among the questions you ask yourself is how it should be structured. This is sometimes an convenient excuse to avoid asking whether the idea has the necessary potential …
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WHAT IS THE FUTURE OF THE ESTATE TAX?
My comments: The Federal Estate Tax, much discussed and vilified by pundits everywhere, is essentially a voluntary tax. There are dozens of techniques and strategies available to someone to minimize, if not eliminate, the tax burden that falls to the heirs of someone whose assets are subject to the tax. That taxes are paid is …
Why Your Tax Bill Might Surge Next Year
The basic ideas in this post come from Bob Jennings and were published November 07, 2011 on foxbusiness.com You may not have a good idea what your income tax future will look like in 2013 if Congress fails to modify the existing tax rules. Many people have no idea what tax breaks are expiring this …
Volatility Can Kill Your Variable Life Insurance Policy
The idea behind this post comes from an article by Gordon A. Schaller Several years ago you purchased a life insurance policy. You did this even though you always thought life insurance was a bad investment with returns of only 3-4%. However, this policy was supposed to be different; the premiums could be flexible and …
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Court OKs Crummy Crummey Powers
By William H. Byrnes, Esq., Robert Bloink, Esq., LL.M. (A quick note: For those not already in the know, “Crummey" refers to a tax court case. The "powers" granted as a result of the ruling allows a person to effectively transfer meaningful amounts of one’s assets downstream to the next generations without causing you to …
Rules for Required IRA Distributions
After you reach age 70½, you must start withdrawing money from your account. Here's what you need to know. It’s the time of year when I start receiving questions about required minimum distributions from IRAs and other retirement-savings plans. Generally, you must take distributions every year after you reach age 70½. Here are some of …
Helping Define Your Financial Future 