At the end of the year, people who have invested in taxable bonds and have received interest income are required to include the amount ofinterest received on the bondson their tax filings to their local and state governments and to the federal government. If the bonds were issuedat a discoun...
Internal Revenue Service (IRS) has made a preliminary determination that interest earned on 9.3 million dollar of bonds issued by the Yakama Indian Nation for a tribally owned and operated sawmill that was used by a private company is taxable. According to a notice issued by the tribe, the ...
A taxable event is any transaction that triggers a federal, state, or local tax. These can be everyday events, such as receiving a paycheck or going shopping. They can also be uncommon events that involve significant capital assets, such as redeeming savings bonds or selling a home. ...
If you want to cut your federal income tax bill, you need to understand what’s included in your taxable income.
The interest on savings bonds is taxable at the federal level but not at the state or local level. There are many kinds of United States Treasury bonds, including savings bonds that are labeled Series EE or Series I. Series E is an older version of Series EE, and no longer pays ...
Even if you don't received a Form 1099-DIV, you are required to still report all of your taxable dividend income. Schedule B is necessary when the total amount of dividends and/or interest you receive exceeds $1,500. However, Schedule B doesn’t change the amount of tax you...
It should also be noted that, depending on the issuer, amortized bonds can be tax-exempt or taxable. There are strategies that can be leveraged to optimize the tax efficiency of an investor’s bond portfolios, such as investing in tax-exempt bonds. ...
Compute Emily's 2015 taxable income on the basis of the following information. Her filing status is single. Salary 85,000 Interest Income from bonds issued by Xerox 1,100 Alimony Received 6,000 Co A company is considering investment in a F...
The best part of getting married is that you fall under the same tax bracket, which automatically makes it a win-win situation. It reduces your taxable income because the earned income tax credit (EITC) or the child tax credit is increased, and you’re filing jointly with someone who might...
Net investment income (NII), for tax purposes, is the total amount of money received from assets such as stocks, bonds, and mutual funds, minus related expenses. NII may include interest income, dividend income, and capital gains. Whether this income, minus the expenses, is taxable is determ...