Domestic violence. It seems you hear it everywhere these days. But you know what you never hear? You never hear from those who are stuck in it. The outside world has no idea what you endure. A friend of mine lost her life shortly after I met her. She never… Read More »Can domestic violence victims use retirement funds to get away?
Carolina Hurricanes. San Jose Earthquakes. Chicago Fire. Colorado Avalanche. Am I talking about sports teams? No. I’m talking about the disasters behind the names. Disasters cause massive losses and often cost far beyond what insurance can cover. When the federal government helps by declaring a federal disaster area, federal money… Read More »Can I use my Retirement Funds after a Disaster?
Can you lose money and owe taxes when you lost money? Yes, you can! But how can you owe taxes on a loss? If you trade the same stock, bond, crypto, or other investment back and forth several times, your losses may be wiped away by the IRS. It seems… Read More »Paying Taxes on a Loss: The Hidden Dark Side of Internet Trading
Your 1099K is on hold again. It isn’t coming. I knew it. As the end of the year grew closer, I started writing blogs and planning strategies to deal with the incoming 1099K nightmare. I was figuring ways to reconcile the 1099K sent by the bank and the 1099-NEC or… Read More »The 1099K On Hold Again
Why do you get different tax answers? Good question. I don’t have a simple answer. The Rule Book It starts with the rule book and how it is written. The federal tax code is about a zillion pages. I know that’s not a real number, but it is well into… Read More »Why Do I Get Different Answers From Different Tax Professionals?
How do I report my Uber and Lyft income? Rideshare driving is so confusing. Most jobs are fairly simple: Here’s your form, plug in the numbers, taxes are done. Rideshare driving is different. You are self-employed. Why? Because they don’t tell you when to come to work or what to… Read More »Taxes for the Gig Economy
August 1980-something, somewhere in New Jersey: My senior year was about to begin. I went into school on registration day to pick up my books and settle my super easy Senior schedule. Everything was looking perfect until I met with Sister Delores, my class counselor. (Yes, there were nuns at… Read More »Why Am I Here? – An Accounting Origin Story
I hear it all the time: “I paid the taxes on that and I’m not going to pay taxes on it again.” Gambling wins, retirement and 401k withdrawals, legal settlements, bonuses for selling plasma, and other payments have the taxes held out. Often, I have clients that are resistant to… Read More »“But I Already Paid the Taxes on That!” – Taxes Held Out on Payments
“But it’s MY money. I already paid taxes on it!” That is true. Roth IRAs are funded with after-tax dollars. Therefore, Roth IRA withdrawals should be tax-free, right? Unfortunately, that is not always true. What is a Roth IRA? Roth IRAs were created by law in 1997. Rather than putting… Read More »Are Roth IRA withdrawals taxable?
I love it when I get a call from someone asking me how much tax they will have to pay on something, and I get to say ‘zero.’ They get so excited when they have tax-free income and the taxman isn’t going to take half of it. That makes my… Read More »15 kinds of Tax-Free Income
A 1031 exchange is also known as a ‘like-kind’ exchange and it a method or deferring the taxes on the sale of a piece of property.
I can deduct the work I do on my house, right? I get asked this often. The answer is… maybe? I think I give that answer to everything, so let’s see how selling your home is taxed and what you should be doing NOW to minimize future taxes. There are… Read More »Can I deduct my home improvement expenses?
Gambling. People try to hide it sometimes. Others wear winning like a badge of honor. But when you win more than a few hundred on the lottery or at the casino, the government knows. Form W2-G You will know when it happens. You need to go to the lottery… Read More »Gambling Winnings on Form W2-G
On February 27th, 2020, Diane was invited to teach a class at the Fayetteville Library on the topic IRS Reporting for Nonprofits. The specifics of taxes for nonprofit organizations is something hard to grasp for many new nonprofits. It is well understood that nonprofits do not have to pay taxes,… Read More »IRS Reporting for Nonprofits
January 2024 Update 2024 is upon us already and tax season is all year long at Grass Roots Taxes. If you have no idea what to bring to do your taxes, check out my list of most forgotten documents, below, and download this year’s updated checklist. You can also scroll… Read More »What to Bring to Do Your Taxes
The worst part of getting a new job is filling out that dreaded paperwork. The new boss asks about everything. They need to see your ID and Social Security card. They need your emergency contact and next of kin. But one of the most important things you fill out is… Read More »Tackling the New W4
I got a text the other day from a client asking if I could pull a copy of his 1994 tax return. My first gut reaction was, “Why on earth would you need it?” I learned a long time ago not to ask ‘why’ unless there is a good reason.… Read More »Can I get a copy of my old 1994 tax return?
What happened to my check? Why is the government taking all my money? From the time everyone gets their very first paycheck, we all feel the same pain. Let’s look at what is taken out of your check and why. Social Security and Medicare Taxes Back in 1935… Read More »What’s all this stuff taken out of my check?
I have been asked this question more than once by people not making money with their business. The short answer is ‘no’. Being a non-profit really has nothing to do with making money. Or taxes. Or profit. Or doing good things. What’s the difference between a non-profit and a for-profit?… Read More »Am I a ‘Non-Profit’ because I don’t make any money?
