Employee or Independent Contractor?

The question is an important one. Failure to properly classify your workers may subject your business to large financial penalties. Tax Implications Employees and independent contractors are treated differently for income-tax withholding and employment-tax ­purposes. With an employee,
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Substantiating Charitable Donations for Tax Purposes

To claim a deduction for a charitable donation, you must have certain docu­men­tation. The current tax law requirements are summarized in the table below. Additional Tips Here are some other points to keep in mind. Multiple contributions. If you make multiple contributions of less tha
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Deducting an S Corporation Loss

You aren’t in business to lose money. So there’s not much to like about an unprofitable year. But if your company is an S corporation, there may be a tax upside — the corporate loss may give rise to a personal tax deduction. Computing Your Basis Standing between you, as an S corporati
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Deducting Donations

Tax savings may not be top of mind when you make a charitable contribution. But, if you can gain an income-tax advantage by helping a worthwhile cause, it’s certainly icing on the cake. Here are ten things to know about deducting donations on your federal income-tax return: 1. To dedu
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Can You Qualify for a Tax Credit?

Looking for ways to reduce your 2011 taxes? See if you’ll be able to qualify for any tax credits. Credits are available for a variety of expenses. Child and dependent care. If you pay for the care of a child under age 13, a disabled spouse, or another adult dependent while you work, l
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