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Archive for the ‘Taxes’ Category

Can I Write Off Damages Caused by Hurricane Sandy? And More Tax Q&A – Ask the Tax Pro 12/6/12

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Ellen: What can you use from Storm Sandy as a write off? My son’s home flooded and all furniture was lost and not covered by insurance.

Corporate Tax Network: Ellen,

I am sorry to hear that your son’s house was damaged due to the storm. But when this type of disaster happens, a casualty loss may provide tax relief and possible tax refunds to taxpayers. According with the IRS…

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Written by Carrie Yutzy

December 10th, 2012 at 1:54 pm

France’s Nutella Tax: Measuring Austerity in Hazelnuts and Chocolate

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In an effort to encourage healthier food choices and reduce obesity, France has taken aim at Nutella, a chocolate-hazelnut Italian spread, by attempting to raise the tax on palm oil 300%. Nutella contains palm oil, which has been linked to cholesterol and other health problems because of its high saturated fat content. The French love […]

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Written by Michelle Fabio

December 1st, 2012 at 8:53 am

Posted in Taxes

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If I Make No Money, Do I Still Have to File Taxes? and More Tax Q&A – Ask the Tax Pro 11/15/12

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Jerry: If I show no income for the entire year, do I still need to file taxes, and or should my wife include me as a dependant?

Corporate Tax Network: Hi Jerry, For 2012, a married couple under age 65 would not need to file a tax return if their gross income was $19,500 or less. When you file jointly, each of you will claim…

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Written by Carrie Yutzy

November 19th, 2012 at 5:41 am

Can I Deduct the Cost of My Work Shoes? And More Tax Q&A – Ask the Tax Pros 11/8/12

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James: As an employee at a hospital, I wear athletic shoes as a part of my uniform. Things get messy and I sometimes need to buy another pair. How many pairs of shoes would I be able to claim as a work related expense?

Corporate Tax Network: James, In order to deduct the cost of work clothes, the items need to be specific to your job and not normally used for everyday use…

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Written by Carrie Yutzy

November 12th, 2012 at 5:44 am

Do I Have to Pay Taxes on Contest Winnings? And More Free Tax Advice – Ask the Tax Pro 10/25/12

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Darrell: What is the general rule for paying taxes on prizes you win in contests? I won a piece of luggage this year with a retail value of $995. Will I have to pay taxes on it?

Corporate Tax Network: Darrell, anything won in a contest is taxable as ordinary income. Since you didn’t earn it, you do not pay any employment taxes on it, such as Social Security and Medicare, but you do have to pay federal income tax on it, plus…

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Written by Carrie Yutzy

October 29th, 2012 at 5:39 am

How Do I Report the Sales Tax I’m Collecting? And More Free Tax Advice – Ask the Tax Pros 10/18/12

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Julian: Hello! I am an independent musician and I sell CDs on the Internet and at shows. I am collecting the appropriate sales tax on these purchases and I plan on paying it. Question is, how should I report it? Thanks for your time!

Corporate Tax Network: Hi Julian, depending on the state you are conducting your business in, you are required to register as a vendor/retailer/reseller (some states use a different name) with your state’s Department of Revenue. Once you register, the state will issue a sales tax license to you, which needs to be displayed where your customers see it. Also…

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Written by Carrie Yutzy

October 22nd, 2012 at 5:49 am

How Should My LLC Pay Taxes? And More Free Tax Advice – Ask the Tax Pro 10/11/12

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German: Hi Diana, what’s the best approach to pay taxes when you own an LLC? What are the tax rates? Thanks.

Corporate Tax Network: Germán, LLC is the most flexible entity for tax purposes. This means that with an LLC, you decide how your company is being taxed, since IRS does not have any specific tax rules for LLCs…

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Written by Carrie Yutzy

October 15th, 2012 at 6:11 am

Can I Get a Tax Extension Past October 15? And More Free Tax Advice – Ask The Tax Pro 10/4/12

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On Thursdays, CPA and Vice President of Corporate Tax Network, Gary Milkwick, answers tax questions for free on the LegalZoom Facebook Page. Did you miss the last Ask the Tax Pro? Don’t worry. We’ve got it all right here. Chris: Is it possible to get another extension past Oct 15? Corporate Tax Network: Chris, unfortunately […]

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Written by Carrie Yutzy

October 8th, 2012 at 5:48 am

Is a Single-Member LLC Taxed as a Corporation? And More Free Tax Advice – Ask the Tax Pro 9/27/12

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Carol: If a sole proprietor operates as a LLC are you required to file taxes as a corporation?

Corporate Tax Network: Carol, when you first set up an LLC, it defaults to being taxed as either a sole proprietorship if there is only one owner or as a partnership if is more than one owner. A sole proprietorship is simply reported on…

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Written by Carrie Yutzy

October 1st, 2012 at 6:05 am

Do Retirees Have to Pay Taxes? And More Free Tax Advice – Ask the Tax Pro 9/20/12

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Carol: If you are a retiree, do you have to pay taxes? Also, if you are a retiree and work and get injured on the job and collect workmen’s compensation (WC) do you have to pay taxes on the money collected from WC?

Corporate Tax Network: Carol, it depends on what type of income you receive in your retirement. Social security benefits may…

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Written by Carrie Yutzy

September 24th, 2012 at 5:51 am