Who Can Become a Tax-Exempt Organization?

So, you want to be tax-exempt? The benefits are plain to see: of course you don’t pay taxes but you also open up the door to a whole new world of potential donors. Why? Because most corporate and private donors want a tax deduction for their charitable giving. They won’t get that deduction unless the …

Could Puerto Rico Become A Tax Haven Option?

  For American citizens, the options for tax savings in foreign jurisdictions are pretty limited if they want to remain a U.S. citizen. The  long-arm of the IRS reaches everywhere, even for “Americans” who don’t live, work, or benefit at all from residency in the United States. Uncle Sam still has a hand in their …

What is a 1099 MISC?

If you’ve been doing a little consulting on the side you might be surprised when you receive a 1099 MISC form from the IRS in the mail. If you thought you could get away with not paying taxes on that side income, think again. The IRS states that gross income as “all income from whatever source …

How Students Can Benefit From Income Tax Breaks

If you or someone you know attended college, you might be able to take advantage of certain “scholarships” which grant you a reduction in your income tax, dollar for dollar. Called the Hope Scholarship Credit and Lifetime Learning Credit, these scholarships provide former students with federal tax breaks. Unlike tax deductions which reduce the income …

Will I Lose My Bank Savings if I File For Bankruptcy?

You may be wondering as to what happens to money held in a savings or checking account when you file for bankruptcy. In most situations, it depends on the individual laws of each state on whether the money is “exempt” from being claimed or not. However, you should know that even if you can keep your …