Cost To File Offer In Compromise

The costs to file an offer in compromise include an application fee of $150. In case the taxpayer has a monthly income below the federal poverty level, payment of the application fee is exempted. The application fee is levied by the IRS to meet the expenditure of processing and reviewing your offer in compromise application.

The Truth about the FairTax

Grassroots support for the FairTax Act of 2005 is growing, prompting those who are afraid of it to distort the facts and engage in fear-mongering. Let’s look at the truth about the FairTax:

IRS Updates: Hybrid Tax Credits Following Industry Audit

The Energy Act of 2005 created major tax credit incentives for people purchasing hybrid vehicles. The IRS has recently concluded the quarterly review of manufacturers and issued tax credit status.

Understand IRS Real Estate Auctions

While the IRS will auction off just about anything to satisfy a tax bill, seized real estate gets people excited. Here are the basics of IRS real estate auctions you need to know.

Tax Break for College Tuition Payments

If you are writing a college tuition check, there may be a hidden tax break that will allow you to deduct a part of your college tuition payment. In order to do this, you must utilize a 'Section 529' College Savings Plan in one of the 26 states that provide a tax deduction or credit when you deposit the money.

Belize Offshore Company Taxation

When it comes to the taxation of an offshore company incorporated in Belize there is really only one thing to know and that is an offshore IBC is exempt from all taxes and stamp duty! The structure of a Belize IBC is totally non-restrictive. There are many potential benefits to establishing an International Business Company offshore, but few jurisdictions offer the features and benefits that Belize does.

Income Tax Relief

Income tax is a tax paid by citizens to the government on income earned through various sources. It is applicable to both employed and self-employed persons. Income tax is a form of direct tax since it is applicable directly on the income earned. Income tax relief is a set of tax deductions granted by the tax authorities in the case of certain expenses and during certain occasions.

Tax Relief

Tax relief is any deduction from taxes allowed to taxpayers by federal or state tax authorities for certain expense categories. An example is allowing the deduction of interest paid on educational loans from the income tax payable. Tax relief also takes the form of full or partial tax exemptions for low- and moderate-income families. In some cases, tax relief includes releasing citizens from paying taxes immediately, particularly during cases of natural disasters and similar contingencies. An example is tax relief granted to families following the devastation caused by hurricanes in the south during 2005.

Tax Returns

Taxes are compulsory charges or levies collected by states or anything that functions like a state. In a modern society, taxes are usually levied in money. Taxes have always been gathered in one way or the other. Tribal governments used to collect taxes either in the form of labor, produce or even gold.

Federal Income Tax

The tax imposed by the U.S. government on the taxable incomes of individuals, corporations, trusts and estates is known as federal income tax. Personal income taxes are payable on the total income of the individual (after some permissible deductions). Corporate income taxes are payable on the gross profit, the difference between the total receipts and total direct and indirect expenses.

Home Ownership Tax Deductions

Americans over pay $945 million worth of taxes every year because they aren’t aware of what they should be deducting. Many homeowners are not aware of the additional tax deductions they can take.

How to Create an Offshore Tax Shelter

Offshore financial centers are often used to run tax shelters. They have little or no taxes, and little or no financial regulations. For example, in the British Virgin Islands, corporations can be formed without the public disclosure of the names of the directors or officers of the corporation. Favorite offshore tax havens include colonial relics such as the Cayman Islands (British), the Dutch Antilles and Curacao (Netherlands).

Why Should I Apply For A Home Improvement Tax Deduction?

It's come time to make some improvements on your house and the prospect seems daunting. However, there is some light in the darkness, a home improvement tax deduction is available in the right instance. Find out more...

Watch for Phony Tax Collectors, Warns IRS

The IRS issued a warning on Wednesday against scammers who pose as private debt collectors looking for unpaid tax debts.

New Tax Laws Impact Investors

The new tax law changes create opportunity and potential pitfalls for investors.