Marcus, Fairall, Bristol + Co., PLLC

An income tax return is a form that some people are required to complete and submit to a tax authority. It includes documents that detail income, expenses, and other pertinent tax information. In the United States, tax returns are filed annually. Whether you are an individual or a business owner, if you have reportable income such as wages, interest, dividends, capital gains, or other profits, you must file a tax return. Tax returns are filed with the Internal Revenue Service (IRS) or a state or local tax collection agency in the United States. The IRS or other relevant authorities prescribe a form that all taxpayers can use. The following information is required to file tax returns: Why do we need tax returns? Taxpayers can compute their tax liability, tax payment schedules, or request tax refunds due to overpayment through filing income tax returns. It is also a sign that you are a law-abiding and responsible citizen. Taxpayers who file their tax returns regularly can easily make fur...

If you are having tax problems and would like an expert to walk you through the steps necessary to resolve any and all IRS issues, please do not hesitate to contact us! Tax resolution and IRS issues Don't mess with the IRS. If you owe back taxes, take action to resolve them because tax problems do not go away on their own. The IRS will pursue you until you pay them, and as you accrue penalties, you will have to pay even more. Here are a few examples of tax issues and concerns: The requirement to amend a return Taxes that are past due Paying your employee payroll taxes late a tax overpayment What to Expect When Paying Off Your Tax Debt When tax issues are not addressed, they do not go away; rather, they worsen. Determine a reasonable course of action to resolve IRS debt. Make an appointment for a consultation, and we'll advise you on your options and next steps. If you are willing to proceed, we will file a Power of Attorney with the IRS. This will provide you with immediate re...

Tax Liability Your tax liability is the entire amount of tax on your income minus any nonrefundable credits, such as child tax credits and dependent care credits, to name a couple of examples. Additional taxes, such as self-employment tax, household employment tax, and tax penalties, may be added to your tax liability. Tax credits and deductions are, without a doubt, the best features of our tax system. Both will help you save money on your tax return and lower your tax liability but in different ways. Related Articles Form 1040-EZ vs 1040A vs Form 1040 What is a federal tax lien? Tax Season 2022 Tax credits directly reduce the total tax due, while tax deductions reduce your overall taxable income. But let’s take a closer look at the differences between the two: How Do Tax Deductions Work? Standard Deductions Other eligible deductions are taken into account when calculating the standard deduction. If you can only account for $600 in itemized deductions, you should take the standard ded...

What are the most common tax filing mistakes people make? How can you avoid them? Read this article to learn more! To avoid the Internal Revenue Service (IRS) from calling your attention, file your taxes properly. To save you money and keep you away from stress, remind yourself to avoid the following tax mistakes:  Make sure that you don’t forget basic information needed when filing your tax returns such as your complete name, address, and  name of your dependents . Always double-check for the correct spelling and make sure your Social Security number is correct. Don’t leave any typographical errors since this will lead to inaccuracy. Select the appropriate filing status for your situation. For example, if you are unmarried, you can file as single, however, you could qualify for a more favorable tax rate if you meet the requirements and declare that you are the head of the household.  Moreover, married couples may pay less tax if they are filed separately.  You shoul...

Tax Season 2022 is upon us! Note the following filing deadlines: The deadline for most people to file their 2021 income tax returns is Monday, April 18, 2022 . This is three days later than the traditional deadline of April 15. It's also worth noting that for those receiving a tax refund, the process is sped up by filing returns electronically and, where possible, having funds deposited directly into bank accounts, prepaid debit cards, or mobile apps. In 2021, the federal government will respond to the economic downturn once more with some relief measures that will reduce the tax burden for taxpayers who have incurred childcare costs, received post-secondary education loans, and/or paid out-of-pocket medical expenses. However,  unemployment benefits  that were part of the 2020 American Rescue Plan  do not  extend to include tax breaks on any unemployment benefits that were received in 2021. Child and dependent care benefits For 2021 returns, the American Rescue Plan ...

You should have a basic understanding of accounting if you own a small business. Knowing the fundamentals will give you confidence in your company's future, and you'll be better prepared to plan for long-term financial success. Accounting assists you as a small business owner in effectively tracking and managing your money, especially if you've recently launched your business. Related Articles What Does an Accountant Do? What is Financial Planning? When to Hire a Forensic Accountant How Accounting and Accountants Help Small Businesses Organize your books Begin by making a habit of compiling bank statements, recording transactions such as purchases, sales, cash receipts, and so on, and learning how to categorize them. As a new business owner, you can manage your bookkeeping needs by using a simple spreadsheet that allows you to categorize the various streams of income that your company has. Using a spreadsheet, on the other hand, can be confusing, time-consuming, and prone t...

Hiring an accountant for expert advice on your finances is a good idea if you own a business. So, before you schedule an appointment, here are a few questions you should ask your business accountant. Do you have experience in the line of my business or industry? Accounting and taxation are applied differently to businesses. As a result, it's fine to enquire about an accounting firm's or a business accountant's experience in your industry. Finding an accountant who understands you and specializes in your field can be extremely beneficial to your business because they will most likely be able to answer the specific questions your company will face in day-to-day operations. Related Articles What does an Accountant Do? When to Hire a Forensic Accountant? How Small Business Owners Can Manage Their Accounting? How Accounting and Accountants Help Small Businesses? What kinds of records should I keep? To file taxes, monitor profit, and secure external funds, you should review your ...