The Pros And Cons Of Paying Your Taxes With PlasticJason Steele
Part of the Series Prepaid Debit Cards Westend61 / Getty Images If you're paying someone to prepare your taxes for you this year and expect a return, they may give you the option of receiving it as a prepaid debit card. While that might seem like a great convenience, some aspects ...
High-net-worth investors should also consider the 3.8%net investment income tax (NIIT)(which applies to investment income above certain thresholds) and state-level taxes, both of which can increase the benefit of harvesting losses even more.2 Capital Gains Taxes While short-term capital gains are...
“Getting a large tax refund first means you overpaid your taxes, which means you won’t pay any underpayment penalties,” said Jake Skelhorn, partner and wealth advisor atSpark Wealth Advisors, LLC.“If you have any high-interest debt, a big refund can be seen as a benefit if you use ...
The Pros And Cons Of Unfiled Tax Returns If the IRS contacts you regarding your unfiled tax returns, it's not too late and do not panic. It's crucial to take the right step by contacting a tax attorney and seeking help. These problems can be successfully resolved by addressing the proble...
States charge income tax at a significantly lower rate than federal income taxes. Each state has its own system for determining tax brackets based on income and filing status. State tax codes also differ, which means that something that qualifies as a deduction for federal income taxes, may not...
Before we explore the pros and cons of paying taxes with a credit card, let’s examine paying taxes through an installment agreement with the IRS. First things first, contacting the IRS and working out an installment agreement is one possible option to manage your debt. Complete the IRSInstall...
If you don't have time to file your taxes by the April 15 deadline, you can file for an extension.
flawed approach—selling important diversifiers in a portfolio for a few bucks saved on taxes," he said. "Investors must think long-term and actually buy into uncorrelated assets that have depreciated during a surging market despite how confident one might be in the continuance of equity growth....
While it’s exciting to receive a large tax refund, it’s important to understand that there are definite pros and cons to receiving one. Before we get into the specifics of the benefits and downsides of receiving a tax refund, though, here’s what you need to know: tax refunds are an...