What Are the Tax Rules Around Day Care

You may be in for a tax break if you’ve been shelling out the bucks for day care. Among the tax credits and deductions available to parents and families, one of the most overlooked and beneficial is the childcare tax credit, formally known as the Child and Dependent Care Expenses Tax Credit and claimed with…

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Payroll Tax Rates and Contribution Limits for 2024

Below are federal payroll tax rates and benefits contribution limits for 2024. Social Security tax In 2024, the Social Security tax rate is 6.2 percent for employers and employees, unchanged from 2023. The Social Security wage base is $168,600 for employers and employees, increasing from $160,200 in 2023. Self-employed people must pay 12.4 percent on the first $168,600. Medicare…

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The 1099 Story: Which Version Should You Be Using?

As each calendar year draws to a close, many businesses have to think about their tax filing responsibilities. It can be confusing to figure out which forms to send out, especially as the IRS made some changes to its venerable Form 1099-MISC, Miscellaneous Information, a few years ago and assigned some of its former responsibilities…

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IRS Changes Mileage Rates for New Year

According to an IRS statement, starting in 2024, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be: 67 cents per mile driven for business use, up 1.5 cents from 2023. 21 cents per mile driven for medical or moving purposes for qualified active-duty members of the…

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Arizona Tax Credits for Individuals – 2023

The 2023 Arizona Tax Credit programs for individuals allow you to make a positive charitable impact while receiving a credit that reduces your Arizona income tax liability dollar for dollar. Many people like the tax credit because it allows them to keep their tax dollars in the local community. Below are some of the most…

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A New Look at SECURE Act 2.0 Issues

The Setting Every Community Up for Retirement Enhancement Act 2.0 (SECURE Act 2.0) has a new provision that speaks to the nature of auto-enrollment for new 401(k) plans. All eligible hires will be required to enroll at a pretax rate of three percent at the minimum. Furthermore, mandatory enrollment will come with an auto-escalation of…

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QCDs: Tax-Free Gifts to Charity

If you have an IRA, you are required to take out a certain amount of money each year once you reach age 73, even if you don’t need the funds. This is known as a required minimum distribution and it can increase your taxable income, potentially pushing you into a higher tax bracket. How QCDs…

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Arizona One-Time General Welfare Rebate

The Arizona Department of Revenue (DOR) will be issuing a one-time individual income tax general welfare rebate, entitled the Arizona Families Tax Rebate to Arizona taxpayers who meet the following requirements: filed a full-year resident tax return for tax year 2021 and claimed a dependent tax credit on the tax return that meets one of the following…

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What To Know About Tax Record Keeping in Arizona

The Arizona Department of Revenue (ADOR) reminds taxpayers to keep well-organized records and to toss old documents securely. Maintaining a dedicated folder for tax-related documents is a good place to start. It makes it easier to prepare your tax return and it helps if you are audited or receive a notice. The statute of limitations…

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