The Affordable Care Act, commonly known as Obamacare, puts individuals back in charge of their healthcare. One of the key components of this law is the provision that requires you and each member of your family to have basic health coverage, also known as minimum essential coverage. If you or a member of your family do not have the minimum essential coverage, then you must qualify for a health coverage exemption, or make an individual shared responsibility payment for months without coverage or an exemption when you file your federal income tax return. The amount of the individual shared responsibility
Every year, tens of millions of Americans walk into franchise tax preparation offices. The Big 3 – H&R Block, Jackson Hewitt, and Liberty, all have similar business models and offer similar levels of service at similar prices.
Here’s what you may not know: Nearly every single one of these tax franchise offices charges fees that are similar to, and sometimes higher than, what you’d pay to hire a CPA.
Let me explain why this matters, and why you should care.
Every fall, the Big 3 start advertising for their annual tax preparation training programs. For a small fee – usually a couple hundred
When preparing for tax time, you want to ensure that you received every dollar back you’re entitled to, remember taxes are enforced extractions and not voluntary contributions. Yet, with the IRS tax code being over 70,000 pages, it’s unlikely you’re aware of every deduction you may be eligible for.
Here are a few deductions that you may have overlooked provided by our New England CPA’s.
State Sales Tax
If you live in a state with no state income tax, such as New Hampshire, you may feel shorted at tax time since there are no state income taxes to deduct.
As an alternative for these
The IRS announced on March 10, 2016 that nearly $1 billion could be waiting for about one million taxpayers who didn’t file a federal income tax return in 2012. If you haven’t filed your 2012 federal income tax returns, you need to do it ASAP. If you don’t file by April 18th 2016, then you will lose any money that is owed to you.
Here’s the potential refund for individuals in Maine, Massachusetts, and New Hampshire who did not file a 2012 return:
Estimated Number of Individuals: 4,100
Median Potential Refund: $651
Total Potential Refunds*: $3,432,000
Estimated Number of Individuals: 20,600
Median Potential Refund: $767
The year is coming to an end. Here are useful year-end tax-planning moves from our New England CPAs that you can still take advantage of before the New Year begins:
Make sure you have maximized your pre-tax retirement contributions, such as a 401K or SIMPLE IRA
Make your January mortgage payment prior to 12/31 in order to increase your mortgage interest deduction
If you are still paying on student loans, make the January payment in December to maximize your student loan interest deduction
The open enrollment period for health insurance ends December 15th, so make sure you are enrolled in a health insurance plan