To put it simply, Form W-2 is a document used annually by individuals, the IRS, and the Social Security Administration (or SSA). It’s used for two main reasons. For one, the IRS and SSA use W-2 forms to keep track of the wages, salary, commission, and tips individuals receive th...
The W-2 Form is also known as the “Wage and Tax Statement[1].” It is one of the most important records needed for an employee during tax season. As an informational return form, the W-2 form contains information about an employee’s total earnings and the amount of federal, state, ...
If you claim a qualifying dependent, you may be able to use Form 8812 to save up to $2,000 dollars on your taxes this year or receive a substantial refund. The Child Tax Credit is available to those who claim children, stepchildren, foster children, and
As a business owner, you need to understand the differences between an employee and an independent contractor, or risk paying back taxes and penalties for improper classification. Find out how the IRS is cracking down on this all-too-common problem and what it takes to get it right. Read ...
What Is the IRS Form 5695? Key Takeaways You can use Form 5695 to calculate Nonbusiness Energy Property credit and the Residential Energy Efficient Property (REEP) credit. The Nonbusiness Energy Property credit can reduce your tax bill for some of the costs you incur to make energy-efficient...
IRS Form 4562 is known as the Depreciation and Amortization form which you need to complete while filing your income tax return. There are assets such as land, vehicles, machinery, equipment, and so on, that are purchased by a company for business use.
The W2 form is more than a piece of paper. This IRS form holds essential information, including the employer’s name, anemployee’s salary and compensationfor the calendar year, and other sensitive information. What is a Form W-2?
Discusses the automobile allowance indicated by an employer in the Form W-2 of the U.S. Internal Revenue Service (IRS) when such allowance exceeds the business standard mileage rate published by the IRS.EBSCO_bspControllers Tax Letter
Tax season can be a stressful time for both individuals and businesses. One of the critical forms you may encounter is the IRS 1099 form. Payments made to nonemployees don’t show up on a W2. Instead, the IRS requires payers to report payments (over $600) on a tax form known as a ...
The 414(h) entry on a W-2 form is the earnings you defer through contributions to a 414(h) plan. This is a pickup plan for government employees, meaning the employer picks up your contribution, saving you some FICA taxes. The IRS sets strict rules for 41