Farming has often been viewed as the backbone of the American economy. While technology and other recent developments may have changed this thinking, farmers still enjoy a preferred status, at least as federal income taxes are concerned. For instance, there are several special tax code provisions relating to farming, most of them beneficial. At the same time, taxpayers in the agriculture field may be in line for the same tax breaks available to businesses in general.
What sort of tax provisions are we talking about? Here are ten items that may be of interest.
Millions of people enjoy hobbies that are also a source of income. From catering to cupcake baking, crafting homemade jewelry to glass blowing -- no matter what a person’s passion, the Internal Revenue Service offers some tips on hobbies.
The Internal Revenue Service today warned people to beware of a new scam linked to the Electronic Federal Tax Payment System (EFTPS), where fraudsters call to demand an immediate tax payment through a prepaid debit card. This scam is being reported across the country, so taxpayers should be alert to the details.
We considered hosting an exchange student when our kids were young. The thought of having an international influence for my children was very exciting. I could barely control myself when I thought about discovering what it would be like to experience the sports of their home country, hear about the traditions and learn to cook the foods that are commonplace in countries that we had never explored. What I didn't realize was the monetary implications of hosting an exchange student. Are you thinking about hosting either an American or a foreign exchange student? You may be able to claim a charitable deduction for the additional expenses of having the student live with you.