Taxes can be confusing, stressful, and time-consuming. Whether you’re filing as an individual or a business, trying to navigate tax laws can feel overwhelming. That’s where a tax professional like 123IncomeTaxInc can step in and make your life easier. Here are several reasons why hiring a professional for your tax preparation is not just a […]
As tax season approaches, the thought of filing can cause anxiety for many individuals and small business owners. However, with proper preparation, you can minimize stress and ensure a smooth filing process. Here are some actionable steps you can take now to get ready for tax season. 1. Gather Important Documents Start collecting the necessary […]
Tax season can be overwhelming, but it doesn’t have to be. One of the most effective ways to ease your tax burden is by maximizing your deductions. Whether you’re an individual taxpayer or a small business owner, understanding and leveraging available deductions can save you significant money. Here are some top tips to help you […]
Withholding is the amount of income tax your employer pays on your behalf from your paycheck. The changes to the tax law could affect your withholding. Use the IRS Withholding Estimator to estimate your income tax and compare it with your current withholding. You’ll need your most recent pay stubs and income tax return. The […]
If you are a qualified taxpayer or authorized representative (Power of Attorney) you can apply for a payment plan (including installment agreement) online to pay off your balance over time. Once you complete your online application you will receive immediate notification of whether your payment plan has been approved. Do you qualify? Your specific tax […]
Use Form 1040-ES to pay your estimated taxes. There are several ways to pay estimated taxes, including by check, cash, money order, credit card and debit card. There are many online payment options, too, such as the Electronic Federal Tax Payment System (EFTPS). The various payment methods are described in the instructions for Form 1040-ES. […]
If you’re self-employed or don’t have taxes withheld from other sources of taxable income, it’s up to you to periodically pay the IRS by making estimated tax payments. Our tax system operates on a “pay-as-you-go” basis, which means the IRS wants its cut of your income when you earn it. For employees, the government gets […]
The 2024 tax filing season is over, but planning ahead can save you money and headaches. If there are any changes that have occurred since the start of the year, taxpayers will want to update their withholdings. For instance, if you had a new baby in January or later, you should update your W-4 to […]
Tax Day is typically April 15 each year unless the day falls on a holiday or weekend. The pandemic in 2021 caused the Treasury Department and Internal Revenue Service (IRS) to extend this date to April 15. But that isn’t the case for tax returns filed in 2024. For this year, the deadline to file […]
If you invested in crypto last year, you may be in for a rude awakening this tax season. Yes, your Bitcoin, Ethereum, and other cryptocurrencies are taxable. The IRS considers cryptocurrency holdings to be “property” for tax purposes, which means your virtual currency is taxed in the same way as any other assets you own, […]