Many taxpayers give much more than just cash to their favorite charity. Many also provide their time, travel, meals, and other “out of pocket” expenses in order to assist the charity in doing good work. And while you can’t take a charitable deduction for your time, you are allowed to deduct other expenses incurred in support of a charity, such as vet bills for your local humane society, or wood and nails for a “habitat” charity. (more…)
Posts Tagged ‘taxable income’
Resolution 2012: Put Your Tax And Financial House In Order
The only effective way to control and conquer your tax and financial issues is to review them throughout the year. And what better way to kick off the new year than to tidy up your financial and tax house. Here are some tips to get you started. (more…)
What’s New: Last-Minute 2011 Deal Reached On Payroll Tax Cut
On December 23, 2011, Congress finally approved a two-month extension of the payroll tax cut for American workers. The agreement was reached after weeks of partisan bickering. Though both Democrats and Republicans wanted a one-year extension of the tax cut, they could not agree on how to pay for a year-long extension and settled on a paid-for two-month extension. (more…)
New Business: IRS Announces Business Mileage Rate For 2012
The IRS recently announced that the mileage rate for business driving in 2012 will be 55.5ยข a mile. The rate can be used for cars, vans, pickups, and panel trucks. (more…)
What’s New: New Law Signed By President Obama
On November 21, 2011, President Obama signed the Three Percent Withholding Repeal and Job Creation Act into law. This new law repeals three percent withholding on certain payments to government contractors. The law, H.R. 674, was amended to include the Vow to Hire Heroes Act which provides tax credits to employers who hire unemployed veterans.
New Business: IRS Issues Guidance On Cell Phone Use By Employees
Previously, the Small Business Jobs Act of 2010 eliminated strict substantiation requirements for business use of employer-provided cell phones. Now the IRS has issued new guidance on the tax treatment for employees. (more…)
Tax Tip Tuesday! What’s Your Basis?
As the end of the year approaches, your tax plan might involve selling assets to take advantage of beneficial capital gain rates, which can be as low as zero percent for 2011. The success of your planning efforts depends in part on knowing your investment in the property you’re selling. In tax terms, that’s your basis, which is used to calculate your gain or loss. (more…)
