Sponsored Post Although the filing deadline for federal taxes has been pushed back to July 15th, many small businesses will still be filing in April. Additionally, many states have not pushed back their filing deadlines. So even if your business isn’t filing federal taxes right away, you may still need to compile your state returns quickly. Whether you plan on filing your state, federal, or both returns this month, H&R Block has a variety of services to help you through this challenging year with discounts ranging from 25-35% off. Many Ways to File H&R Block offers multiple tax filing options that small businesses can use. For those that want to prepare their own returns, the company offers the ability to file online with 25% … [Read More...]
Can I Pay My Taxes With a Credit Card?
It can be pretty stress-inducing to find out you owe money to the IRS. Maybe you’re a small business owner who had fewer deductions this year, or maybe you added a side hustle and didn’t set aside enough money to pay the self-employment tax. As a simple solution, you might be wondering: “Can I pay my taxes with a credit card?” The answer is yes. The Taxpayer Relief Act of 1997 makes it legal, and it’s not difficult. In fact, thanks to all the great sign up bonus cards out there, there are benefits to putting your tax bill on a card even if you do have cash on hand. Processor Debit Card Credit Card pay1040.com $2.58 flat fee 1.87% … [Read More...]
How To Get Help With Your Taxes While Social Distancing
Advertiser Disclosure Tax time can be stressful every year, but tax time during a pandemic presents its own unique challenges. With social distancing measures in place across the country to slow the spread of the COVID-19 pandemic, you are encouraged – and may be required – to find an alternative to the traditional method of sitting down with an accountant to file your taxes. We reached out to H&R Block, one of our top picks for Best Tax Software for 2020, and financial planning experts to learn more about the best ways to file your taxes while staying a safe distance from others. H&R Block Turbo Tax TaxAct 1. File by yourself using tax software DIY file online offers a do-it-yourself option to file on … [Read More...]
2020 Bitcoin Adoption: Why Nonprofits Will Lead the Way
Microsoft accepts bitcoin. Nobody cares. Why? Because if you want people to give up their bitcoin, you’d better have a damn good reason. Microsoft and other companies that accept BTC don’t currently have that. When you currently spend BTC on something from Microsoft, you aren’t getting any additional financial benefit of using that payment method versus a credit card, especially in the U.S. where using BTC for purchases is a tax nightmare. The typical case for spending BTC versus fiat is usually about adoption to encourage more merchants to accept BTC. In a lot of cases, that incentive isn’t strong enough for many HODLers. Nonprofits are a completely different story. Donations of BTC are not a taxable event. Not only do you not incur capital gains … [Read More...]
Can I Change the Beneficiary of My 529 Plan/Account?
A reader writes in, asking: “Can I create a 529 account, contribute to it with my daughter named as the beneficiary, and then change the beneficiary to another family member if we end up wanting to help fund somebody else’s education?” The short answer is: it depends on who exactly the family member is, but probably yes. Naturally, Code section 529 is where we’d find information about 529 plans. There, we find that there are no income tax consequences to changing the beneficiary of a 529 account, provided that you change the beneficiary to somebody who is a “member of the family” of the existing beneficiary. Members of the family include: A child or a descendant of a child (i.e., a grandchild); A brother, sister, … [Read More...]
E-File Federal and State Tax Extension Online For Free (Updated 2020)
Updated for 2020. This year, the deadline for federal tax filing is Wednesday, April 15th, 2020. If you file for an extension before that date, you can extend the time allowed to file your return by six months to Thursday, October 15, 2020. It does not extend the time to pay any tax due, although due to the coronavirus the IRS has extended the tax payment deadline by 90 days for everyone. There are many legitimate reasons to ask for such an extension, and the extension is granted automatically without needing to provide a specific reason. The penalty for late filing is many times higher than the penalty for late payment! If you are not 100% sure you can file in time, file for an extension. Here’s how to e-File … [Read More...]
Federal and State Tax Payment Deadline Extensions Due to Coronavirus
The US Treasury has announced taxpayer relief for federal tax in response to COVID-19. Here is the Treasury press release, official IRS notice, and a CNBC article. Below is my brief summary for most taxpayers. The standard deadline for filing your individual federal income tax returns remains April 15, 2020. It has not changed. If you’re getting a tax refund, you should try to file right away. Might as well get your money sooner, as this relief won’t help you if you don’t owe money. The deadline for tax payments if you owe money has been postponed by 90 days. If you owe money on your return, instead of April 15, 2020, you now have until July 15th, 2020. Penalties and interest that you would otherwise have accrued will be … [Read More...]
24 Tax Scams to Watch Out For
The tax season can be a stressful period for businesses. This period is marked with pressures to file for returns by a deadline and it inadvertently provides good opportunities for scammers to strike. Scammers pounce on opportunities to steal your sensitive data, identity theft or trick you out of money by employing elaborate ruses using tax scams. Tax scams can involve criminals impersonating IRS agents, government agencies, customer support employees and more. They can reach out to you in person over the phone, online or via the mail in an effort to trick you into sending them money for taxes, pay penalties or fees you don’t actually owe. They often prey on the least suspecting using tactics cloaked in the guise of the official Internal Revenue… [Read More...]