Tag Archives: Alternative Minimum Tax

Credit and Debit Card Fees Related to Tax Payment are Deductible

IR-2009-37, April 7, 2009 WASHINGTON — Credit or debit card convenience fees charged for paying federal individual income taxes electronically are deductible for some taxpayers who itemize, the Internal Revenue Service announced today. Federal law bars the IRS from paying any fees associated with these credit or debit transactions. Card processors normally charge taxpayers for […]

News Release – Stimulus Package – Final Version Summary

CCH Special Tax Briefing Final Stimulus Plan Provides Tax Breaks For Individuals, Businesses, Environment, Government (RIVERWOODS, ILL., February 13, 2009) – Senate and House conferees have agreed on the final provisions of The American Recovery and Reinvestment Act of 2009, the major “economic stimulus” measure of the new Obama administration, according to CCH, a Wolters […]

Tax Simplification and Compassion Recommends Taxpayers Advocate

In this year’s annual report to Congress from Nina E. Olsen, the Taxpayers Advocate, she touches upon areas that have been troubling TaxMama for quite some time. In particular, the fact that millions of taxpayers will be facing potential cancellation of debt issues, hardships paying last year’s taxes, and unregulated tax professionals. IRS Commissioner Doug […]

IRS Issues Fall 2008 Statistics Of Income Bulletin

IR-2008-132, Nov. 24, 2008 WASHINGTON — The Internal Revenue Service today released the fall 2008 issue of the Statistics of Income Bulletin, which features information on 138.4 million individual income tax returns filed for tax year 2006. Adjusted gross income less deficit (losses) reported for 2006 totaled $8.0 trillion, an 8.2 percent increase from the […]

National Taxpayer Advocate Releases Report to Congress; Identifies Priority Challenges and Issues for Upcoming Year

Courtesy of the Internal Revenue Service – IR-2008-87, July 8, 2008 WASHINGTON — National Taxpayer Advocate Nina E. Olson today delivered a report to Congress that identifies the priority issues the Office of the Taxpayer Advocate will address in the coming fiscal year. Among the key areas of focus will be improving IRS procedures to […]

Section 179

Today TaxMama hears from IRA in California, who tells us . “This year I will have over $80,000 in Section 179 deductions for my sole proprietorship. Is this deduction a preference item for AMT purposes?”

Changes to Tax Laws in 2007

Courtesy of the Internal Revenue Service TT-2008-27 Taxpayers should be aware of important changes to the tax law before they complete their 2007 federal income tax forms. Here are some changes that may affect your return. AMT Exemption Increased for One Year. For tax-year 2007, Congress raised the alternative minimum tax exemption to $66,250 for […]

AMT Twist?

Today TaxMama hears from Steve in Alaska who sends a very long question. To summarize, he says: “Using TurboTax, my standard deductions are higher than my itemized deductions. Yet, choosing the standard deduction, I OWE the IRS approximately $1,650. But if I itemize deductions, I get a REFUND from the IRS of about $450. Why […]

Most Taxpayers Eligible to File Their Taxes Online for Free

Courtesy of Internal Revenue Service WASHINGTON — The Internal Revenue Service and its private-sector partners today announced the Jan. 11 opening of this year’s Free File program. The free tax preparation and electronic filing initiative begins its sixth year with high customer satisfaction ratings. Most Taxpayers Eligible Seven out of 10 taxpayers — 97 million […]

AMT Patch Passes Congress

courtesy of: David & Mary Mellem, EAs & Ashwaubenon Tax Professionals Congress has finally agreed on an AMT patch for years beginning in 2007. President Bush has indicated he plans to sign the bill. The bill is titled the “Tax Increase Prevention Act of 2007”. There are two parts to the bill: 1) The tax […]