Posted on July 6th, 2020

Whether the goal is to gain experience or earn some spending money or help pay for college, summer is the prime job season for teens and college students. This year, however, with the coronavirus pandemic, the job situation has not been as easy – not to mention that it is starting later than usual. Nonetheless, if you are a high school or college student (or the parent of one) who has been lucky enough to find summer employment, here’s what you should know about income earned during the summer months: Read More…

Tags: Other Income, Tax Tips

Posted on February 5th, 2020

Many people enjoy hobbies that are also a source of income. From soap making to pottery and jewelry making to calligraphy, these activities can be sources of both fun and finances. Taxpayers who make money from a hobby must report that income on their tax return. Read More…

Tags: Other Income, Tax Return

Posted on November 15th, 2019

Two questions:

1. Are you prepaying your 2020 rent so that you have a big 2019 tax deduction?
2. How do you identify in your accounting records the monies you put on your IRS Form 1099-MISC for the business rent payments to your landlord?

Read More…

Tags: Audit, Other Income, Real Estate

Posted on July 1st, 2019

An IRS CP2000 notice is mailed to a taxpayer when income reported from third-party sources such as an employer, bank, or mortgage company does not match the income reported on the tax return.

It is not a tax bill or a formal audit notification; it merely informs you about the information the IRS has received and how it affects your tax. It is, however, important to pay attention to what your CP2000 notice states because interest accrues on your unpaid balance until you pay it in full. Read More…

Tags: Other Income