Archives for Taxes

Tax hikes or yikes – Bush tax cuts expire

Bush tax cuts are due to expire end of 2010: Here are the key provisions: 1) Top marginal income tax rate goes from 35% to 39.6% 2) Qualified dividend tax rate goes from 15% to your income tax bracket, which can be has high as 39.6% 3) Long term capital gain tax rate goes from 15 to 20% for most taxpayers. 4) Section 179 depreciation goes from $250,000 to $25,000 5) Estate tax exemption goes
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Alternative vehicle tax credits

Please check out the IRS website for the alternative vehicle credits.  There are credtis for hybrids, electric, clean diesel, fuel cell vehicles.  Keep in mind depends on quotas.  Talk with your tax advisor to see if the quota has been met for that vehicle.  Credits seem to be best on electric vehicles. Credits range from $500 to $4,000.,,id=202341,00.html
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Hiring a tax professional

I get this question quite a bit at various meetings with people.  The statistics say that 70% of people here in the US utilize a tax professional.  It used to be 99% before Turbotax.  I have reviewed many returns from Turbotax, I have found only one or two that I would consider utilized the full power of the software.  Most people do not have a clue about  taxes and Turbotax won’t make you a tax
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