Tag Archives: Business/Finance

Small Business and Work Opportunity Tax Act of 2007

By David & Mary Mellem, EAs This Act, made Public Law 110-28 by President Bush’s signature on May 25, 2007, increases the Federal Minimum Wage and provides some tax changes as well. It can be found at the government’s web site of thomas.loc.gov by searching for HR 2206 or by going to Public Laws and […]

Advisory Team

Today TaxMama hears from Edward in PA, who asks, “Can you address the ins and outs of building a personal financial team?https://www.topsedu.xyz/wp-content/languages/new/professional-resume-help.html Who are the key players needed on this team?”

State Taxes

Today TaxMama hears from Georgette in the Tax Parlor, who says. “While I assume that I should be reporting the income I earn online, ClickBank in particular, I am unsure about state tax for PA. I am not charging state tax for digital downloads. So do I only have to report the income I make […]

No Documentation

Today TaxMama hears from Plucky in the Tax Parlor, who tells us. “I started a business in 2006 and incurred costs exceeding $5,000. I do not have the appropriate documentation for all costs. Can I still deduct the “standard” $5,000 deduction? ” Hi April, First of all start up costs are essentially the costs you […]

Negative Amortization

Today TaxMama hears from Ray in the Tax Parlor, who tells us. “Two friends and I own some rental homes. One of us says he can deduct not only the total interest paid on one of the properties, but also what he calls the “deferred interest.” In other words, the unpaid interest by which the […]

Double Retirement Contributions

Today TaxMama hears from Alejandro, in the Tax Parlor, who tells us. “I have a regular 9 to 5 job and also have my own business. I want to know if I can both contribute to a regular 401(k)plan and also invest in a 401(k) plan? I would therefore be exceeding the $44K per year […]

Stock Sale Date

Today TaxMama hears from Stephen, a MarketWatch reader, who has this question. “I sold some stocks on 12-27-06. The settlement date was 1-2-07. The stock brokerage company sent me a Form 1099 without this sale because the settlement date was after 2006. Can I report this sale in my 2006 tax return? Will the IRS […]

50 Percent Loss

Today TaxMama hears from Andrew in the Tax Parlor, who tells us. “I operate an S corporation. In the 1st year (2005), the S corporation had substantial income, and I reported it on my 2005 tax return. This year (2006) it has a loss that’s larger than my whole family income. May I report 50% […]

Paying Corp Taxes

Today TaxMama hears from Alison in Los Angeles, who says “I have to send a payment with my corporate extension (Form 7004). How do I get the payment voucher? The instructions say I can’t send a check.” Dear Alison, The Form 8109-B not an easy form to get at the last minute. https://www.irs.gov/pub/irs-pdf/f8109b.pdf You can […]