I just started my own business last year.I didnt make any real profit. With tools and vehicle costs and all the things associated with starting a new...
I just started my own business last year.I didnt make any real profit. With tools and vehicle costs and all the things associated with starting a new business. will i get money back if i havent paid any taxes? Does my regular deductions qualify me for a rebate?
i have paid state taxes on thousands of dollars of materials and equipment and will have several 1099’s. i just have so much to offset any profit.
If you have just moved to Virginia and are confused about filing tax returns in that state, here are some guidelines to help you.
To begin with, you should know that the rates for income tax in Virginia range from 2 to 5.75 percent and are classified into four income groups.
Married or single taxpayers who are filing tax returns individually pay income taxes at the rate of:
2 percent for an income of $3,000
3 percent for an income of $3,001-5,000
5 percent for an income of $5,001-17,000
5.75 percent for an income of $17,001 or more
Married couples who file income tax returns jointly have to pay taxes at the same rates but the income groups are doubled.
The due date for filing taxes in most U. S. states is April 15. The residents of Virginia are given a number of additional days to file tax returns and, usually, the due date is extended to May 1. You can get a lot of useful information regarding forms, due dates, instructions about filing taxes, and other tax-related information of significance at the official website of the state of Virginia: http://www.tax.virginia.gov/.
The state levies sales tax and use tax at the rate of four percent. It could levy an additional one percent of local tax based on the purchases made. The above mentioned website gives ample information about sales tax too.
On July 1, 2005, the state decreased the taxes for food by nearly 2.5 percent and created a combined tax rate of 3.5 percent. The coming years promise reductions of 0.5 percent. The official website of the state of Virginia also gives the revised tax rates.
The use tax is a combination of the state’s retail sales and its use tax requirements. You have to pay these taxes if the total value of all sales-tax-free purchases you have made exceed $100. These items include those that were bought in a state devoid of sales tax and were later shipped to Virginia, sales tax free online purchases, and so on.
Virginia does not levy taxes on inheritance and estate at the state level. In this regard, it follows same estate tax laws as those followed at the federal level. It does not levy property tax either. Taxes are levied only at the local government level.
The official website of Virginia is the only place where you can get updated and authentic information about the state taxes. Here you can also obtain any other tax-related information that you might require.
Ok, last question of the day the tax return. I completed my federal income tax return, how state taxes?
I just finished my Form 1040 EZ, but it seems that I must complete a form for state taxes, too? I had work in two different states of the past year. How do I file state taxes?
Find your state download the appropriate form (s), finish your taxes: http://www.taxadmin.org/fta/link/FORMS.html
I started a sole proprietor business in 2008 and am calculating values for 2008 federal and state taxes. I buy items, and have them shipped directly to the customers. Can my profit total (before deductions) be after shipping fees, or is that before and the shipping fees are deductible afterward? I really want to do these right, and it’s a big deal because I will have to pay the 15% self employment tax on all profits before deductions. For example…Sally Sue purchased an item from me for 0. It cost me 0 to buy the item and send it to her. But I also paid in shipping costs. SO do I claim as my profits and then have a tax deduction of , or do I claim as my profits? By claiming I’m paying .50 in self employment taxes, but by claiming I’m only paying .50. And when those numbers equal thousands of dollars, it’s a huge difference.
To Morpheus: I do not make profits on shipping, and that is not what the question was. What I am asking is if the government will want me to provide a base profit BEFORE shipping expenses that I paid and then just deduct shipping expenses as a tax deduction OR if they see shipping expenses as something that can be deducted before base profit is recorded. In my example of the customer paying 0 and I pay 0 plus for shipping, that is saying that the customer paid 0 plus shipping, totally 0. I am an eBay seller, and do not condone cushioning shipping charges to make more profit, again that was not what the question was.
I filed fed/state taxes w/ turbo tax and took a deduction for having a home office. I was a 1099 employee, working from home for part of the year. I did not file a business name w/ the state of CO though. I’m a bit confused as to whether I filed correctly. Can I take this benefit although I do not have a business name?
Business did not requuire I had a license. The deduction I took was prorated for the portion of the year I worked from home
Ok I have had this lady do my taxes for me for the past 2 years. She has always done them at no charge since I qualified under her Free or Reduced program. The way we’ve always done this process is since she lives in another state now, she mails me an envelope with some helpful tax info. for me such as deductions etc. and also included is a tax organizer for me to fill in so that she can do my taxes easier. Well I received that envelope from her in my mail early February 2008. I filled it out and mailed it back to her with my tax form, documents and other receipts. After several days of not getting any response from her as to receipt of the items I mailed to her, I then emailed her to both her personal email and her business email. She never replied to either so I called both her business and home phone. Her business number turned out to be bogus and her home phone a machine always picked up. I left her a message and waited. She never called back so now it’s April 14, 2008…..
one day, as you all know before the tax deadline. I called the IRS and informed them of the situation and the lady I spoke with advised me to try and contact her a few more times today and if I received no response then to get them done somewhere else this year. Thankfully I had made a copy of my tax form (my 1099) I always make copies of my 1099 or W-2s just in case they get lost. Well since it was so close to tax deadline, I went to Tax ACT since some of my co-workers say they use that tax software to file their own taxes quickly and easily. I was able to file both my Federal and State taxes thru Tax ACT. I emailed the lady I had wanted to do my taxes one last time to inform her that I didn’t know why she wasn’t replying to my phone calls or emails but that since it was 1 day away from the tax deadline I went ahead and had my taxes done elsewhere. I also asked her to send back my tax documents to me (there’s a more but I’m fixing to run out of room so I’ll continue below)
sorry ran outta room. I wanted to mention that after I sent the email informing her that i had gotten my taxes done elsewhere already and that all I needed from her now was for her to mail back all the tax documents I sent her. Well not even 5 minutes after I sent that email my phone rang and it was her. She told me that the reason that I had never gotten the taxes she prepared for me was because she had accidentally placed the wrong zipcode on the envelope she put them in which she mailed off to me. She said she had just gotten them back from being lost in the mail because of the incorrect zipcode. Ok well I told her that I went ahead and already had my taxes prepared by someone else this year and that they were already taken care of. I asked her to please just send back all my tax documents to me. I even offered to pay postage so she could mail them back to me ASAP. She told me not to worry about postage and that she would get them in the mail right away. Still haven’t got them.
I’m filing form CA 568 for a single member llc (disregarded entity). The business activity is a residential real estate rental. For the federal return I will be filing schedule E along with the member’s 1040. My question is, given that state taxes are deductible on a federal return, do I deduct the state taxes paid (annual LLC tax) directly on the schedule E (as if I was filing 1065) or does it need to go on schedule A? Personally I believe it should be deducted on schedule E as a direct decrease to federal business income (as it would on 1065), but am not 100% sure. Anybody have experience here?
I’m looking for tax software that is easy to use but good at handling somewhat complicated situations – I am partly self-employed as a 1099 contractor with a number of different organizations, and I also moved from one state to another partway through the year (so will have to file two separate part-year returns for the state taxes). I have been making quarterly estimated payments and I do not plan to claim business deductions – my expenses are so minimal that I’d rather just take the standard deduction. Still, I’d like the kind of software where it just asks me questions and then figures out which forms, schedules, etc. to fill out on its own – I used a free program (Tax Slayer, I think) last year and although I entered 1099 income I do not know if an SE was filed or not. (I’m sure I’ll get a bill later if not.) I liked Tax Slayer just fine when all I had were W2s to enter, but I’d really prefer to use a program where I know whether or not the self-employment taxes are being deducted.
I received a w-2 form from my previous employer. The employer withheld only state (CA) taxes from my paycheck every pay period. They DID NOT withheld any federal, social security, or medicare taxes. So at the end of the year when i file my taxes, I have to pay those taxes. I had always assumed i was an independent contractor, and as such i was entitled to deduct business expenses on my schedule C. Normally i would be issued a 1099 misc form instead of a w-2, but in this case i think because my employer witheld state taxes, they issued me the w-2 form. Well, the irs informs me that because my employer did not classify me as a "statutory employee" in the w-2 form, I would NOT be able to deduct any business expenses. They told me i would have to get a letter from my employer stating that i was a "statutory employee"
then they will allow the business deductions. I called my employer, and they said i was not a statutory employee under section 530 (??). ..
any help is appreciated.
I received a w-2 form from my previous employer. The employer withheld only state (CA) taxes from my paycheck every pay period. They DID NOT withheld any federal, social security, or medicare taxes. So at the end of the year when i file my taxes, I have to pay those taxes. I had always assumed i was an independent contractor, and as such i was entitled to deduct business expenses on my schedule C. Normally i would be issued a 1099 misc form instead of a w-2, but in this case i think because my employer witheld state taxes, they issued me the w-2 form. Well, the irs informs me that because my employer did not classify me as a "statutory employee" in the w-2 form, I would NOT be able to deduct any business expenses. They told me i would have to get a letter from my employer stating that i was a "statutory employee"
then they will allow the business deductions. I called my employer, and they said i was not a statutory employee under section 530 (??). ..
any help is appreciated.
For people who bought cars and 2010 and with tax season just around the corner, should be aware that buying a new car (not used), light truck, trailer or motorcycle, which had a gross weight rating of less than 8,500 pounds, and payment status and local sales and the specific excise duty, you may be eligible for a special deduction for submitting their 2009 tax returns.
Explanation how this deduction may Fact This deduction can be taken irrespective of whether or not you detail the deductions on your statement of income.
Purchases made before 1 January 2010, will benefit from this deduction in the American Recovery and Reinvestment Act 2009. A qualified motor vehicle includes some passenger truck, light or motorcycle, the original use of which begins with the buyer, and has a gross vehicle weight of 8500 pounds or less. Purchases must occur after February 16, 2009 and before January 1, 2010.
This deduction is limited to sales taxes and excise taxes and fees paid for a similar vehicle at a maximum $ 49,500 purchase price of a new vehicle. Deduction is reduced for joint filers with modified adjusted gross income (MAGI) of $ 250,000 to $ 260,000 and other taxpayers with MAGI ranges from $ 125,000 to $ 135,000. Unfortunately, if the income is higher than what is said above, then you will not qualify.
There is some good news, the deduction is available if you detail the deductions on your tax return. If you can not spell, you can add this supplement to the standard deduction on 2009 tax return. In addition, using this special deduction, you must file Form 1040 or 1040A form. Unavailable for people who use Form 1040EZ.
If you used regularly since that date should 1040EZ [Council Tax] consider the use and presentation of Form 1040 or Form 1040A, instead of 1040EZ form for the benefit of this deduction.
To learn more about filing your taxes early in January 2010 and special 1040EZ program, please visit http://www.sl-cpa.net/form1040taxes.php and register in our secured portal for the 2009 tax season and you will lock into our special pre tax season 1040EZ price, a monthly tax and accounting newsletter and over 50 financial web based calculators at no additional charge.
Sandor Lenner, CPA/MBA has over 35 years of accounting experience and is also a Certified QuickBooks ProAdvisor. He works part-time with Susan Missal Lenner, P.A. http://www.sl-cpa.net
I lost and forgot to pay my Michigan State Income Tax? What to do?
I am an Indian citizen. I've been forgotten pay my income tax for 2002 and lost state tax filed in 1999-2001. What to do? For federal forms I learned that you can fill form 4506T to request old transcripts. Now, what to do for Michigan state forms. What form must be completed to request old transcripts and which form is required to file a tax return for 2002. Thank you very much.
Try to contact the Michigan Department of Treasury: http://www.michigan.gov/treasury. Must be able to help you.
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