July 19, 2017 Tax Tips: Health Insurance
Your client’s health insurance coverage probably came in handy several times over the past year. It all seemed so simple at the time—they paid a deductible, and their insurance usually kicked in the rest. But what do they do at tax time? Just what are they taxed on, and what can they deduct on their federal income tax return?Read more
June 19, 2017 Shifting Income & Tax
What is shifting income and tax liability?
Income shifting (also known as income splitting) may be defined as dividing income among taxpayers in a way that lowers the overall tax burden imposed on the income. Typically, income is shifted from higher bracket taxpayers to ones in lower tax brackets. Mathematically, you can describe the overall savings in tax as the present value of the difference between the tax that would be paid by the "donor" of the income over his or her lifetime, compared to the present value of the tax that will be paid by the recipient on the same income.Read more
May 17, 2017 Taxation and Health Insurance
What are the tax issues associated with health insurance?
Two aspects of your health insurance plan may affect your income tax calculations: the premiums and the benefits. There are many variables that impact the tax treatment of your health insurance premiums and benefits. And if you don't have qualifying health insurance, you may face a penalty tax beginning in 2014.Read more
May 17, 2017 The Trump Tax Proposal: What You Need to Know
This week, the White House unveiled its tax plan, proposing to cut taxes across the board, relieve millions of people from paying income taxes, and streamline filing—all while keeping the budget in balance (or at least not making the situation worse). But are the plan’s promises possible to fulfill, and does it stand a chance of passing?Read more
April 27, 2017 Estate, Gift, and Generation-Skipping Transfer (GST) Taxation and Life Insurance: Estate Planning
Estate, Gift, and Generation-Skipping Transfer (GST) Taxation and Life Insurance: Estate Planning
Don't let taxes steal your family's financial security
Life insurance can provide financial security for your family. However, if you don't plan appropriately, taxes can greatly reduce the life insurance benefits actually received by your family. Although life insurance proceeds are generally received by the beneficiaries free of income tax, you need to understand how life insurance policies and proceeds are taxed for estate, gift, and generation-skipping transfer tax (GSTT) purposes in order to realize maximum benefits from your insurance.Read more
Feb. 16, 2017 Choosing an Income Tax Filing Status
Selecting a filing status is one of the first decisions you'll make when you fill out your federal income tax return, so it's important to know the rules. And because you may have more than one option, you need to know the advantages and disadvantages of each. Making the right decision about your filing status can save money and prevent problems with the IRS down the road.Read more