The Tax Questions Blog

Archive for January, 2010

Cadence Financial Corporation Reports Fourth Quarter Profit

STARKVILLE, Miss.----Cadence Financial Corporation , a bank holding company whose principal subsidiary is Cadence Bank, N.A., today reported net income of $664,000, for the fourth quarter of 2009, compared with a loss of $2.7 million for the fourth quarter of 2008.

Question: why do i have other non taxable income on my w2?

what could this mean? i havent worked for anyone other than a incorporated company

Answer: Other non taxable income, may be contributions to a 401k, health premiums or any other pretax deduction from your wages, this figure would not be included in Box 1 on your W2.
What box is this reported on? There should be a sheet on the back of the W2 or in addition to with an explaination of what each box of your W2 represents. This figure is not something that you would add on to your 1040 as income. If it is for a contribution to a 401k you might be eligible for the Retirement Credit, if it was for health care premiums, if you itemize your deductions this given you the total that you paid for the yr in health care premiums.
If you look and are still confused, call the Internal Revenue Service and they can help you by just getting a little bit more information from you.

Obama wants to repeal tax on company cell phones

Ever make a personal call on your company cell phone? Did you record the value of that call as taxable income, as required by law?

Commercial Loan Modification & Cost Segregation Part 7. (How to get $ money back from the IRS)

Question: How to 1099 outsourced computer programming to philippians?

I paid a programmer 1000 dollars for his programmer work. I don't think he has a EIN.How do I 1099 him? Can I? I' in the US.

Answer: You don't. He's not subject to US tax laws and you can't file a Form 1099 for any money that you paid him. Just maintain documentation of his non-US status. A signed statement from him to that effect, including his name and non-US home address is sufficient.

Reporting Your Interest Income

Find out how your accounts are taxed and which forms you need.

GUTTO MALUCO 1099 (FAVELA JUNINA 2009 ARRÁIA DO POVO 2009)

Question: I have inherited property from my father.Now I sell it .Is the income taxable or not If so how much?

Answer: You will have to pay tax if there are any capital gains on the sale of property. The price paid by your father to acquire the property can be taken as the original cost of the property.

Fault finding

I have fixed deposit accounts with the State Bank of India. The bank refused to accept my Form 15H on the ground that I didn’t have a PAN card. I am 75-years-old. Is it mandatory to have a PAN card to submit Form 15H?.

Question: What's the difference between IRS forms 1040 and 1040-A?

I used 1040 to file my return, but someone told me I could have used 1040-A (no income other than wages, standard deduction only, married)... is this correct? Does it matter (other than 1040-A being shorter and easier to fill up?)?

Answer: The 1040-A is the "Reader's Digest" version of the 1040. Everything that is on the 1040-A is also on the 1040, but not the other way around. The 1040-EZ scales back even more. Everything that is on 1040-EZ is on the 1040-A and the 1040 and not the other way around.

History lesson time. It was in the mid 1970's the IRS introduced the short form tax return. It was really a short form being a 8 1/2 x 5 1/2 piece of paper-front and back needed to be filled out. (A standard piece of paper cut in half). That was called a 1040-A. Now, if you use that form and add all sorts of schedules that are reportable on the 1040-A, you would end up with about 20 sheets of paper. I have prepared and generated more schedules on a 1040-A than a 1040 form. The 1040-EZ was introduced in the late 1980's to make things simpler for those with minimum activity in income. So much for an easier system and paper reduction.

You having submitted a 1040 is acceptable. If you can file a 1040-A and 1040-EZ - go ahead. Just less lines to read through and certainly less confusing.

Hope this helps.

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