LegalZoom Blog

Legal news and small business tips.

Archive for the ‘Ask The Tax Pro’ tag

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

with one comment

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…

Read more

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

without comments

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…

Read more

Written by Carrie Yutzy

October 29th, 2012 at 5:39 am

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

without comments

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…

Read more

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

without comments

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 […]

Read more

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

without comments

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…

Read more

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

without comments

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…

Read more

Written by Carrie Yutzy

September 24th, 2012 at 5:51 am