The Firm of Gardner & Billing, CPAs PLLC

Article by Cameron Huddleston I remember when I got my first job and was handed a W-4. I had no idea what it was or how to go about filling out the IRS form. For starters, the whole "allowance" thing threw me off. As far as I was concerned, an allowance was something my parents gave me for doing chores when I was a kid. I'm sure plenty of people just entering the workforce, and even quite a few experienced workers, have the same thoughts as they fill out a W-4 form. So let's go over the basics: Why do I need to fill out a W-4? The information you provide on the form is used by your boss to figure out how much federal income tax to withhold from your paycheck. How do I know if I'm exempt from withholding? You can take a pass on federal withholding if you owed no tax last year and expect to owe nothing this year, either. (This means zero tax liability for the year, not whether you owe tax or get a refund when you file.

Forty-five U.S. states and the District of Columbia rely on levying sales taxes on most things residents and visitors buy to help keep the state government functioning. In those states, sales taxes are an important source of income. The revenue from sales taxes is an essential part of the state's general budget. It goes into the pot with revenues from other sources and helps keep the public schools, universities, courts, highway departments, state police, medical programs and all sorts of other institutions and activities running. Without sales taxes, those states would find it difficult -- if not impossible -- to stay in business. A sales tax is classified as a consumption tax. An income tax goes after the money you earn; a consumption tax targets only the money you spend. Some economists argue that state sales taxes aren't true consumption taxes. That's because most states have lots of exemptions -- sales of some goods and most services aren't taxed. Also, busi

If you applied for a health insurance tax credit through the Health Insurance Marketplace, it might be time to give your status a check-up.   Maybe you’ve experienced some life changes that will affect your credit…. Changes in circumstances that you should report to the Marketplace include, but are not limited to: an increase or decrease in your income marriage or divorce the birth or adoption of a child starting a job with health insurance gaining or losing your eligibility for other health care coverage changing your residence Reporting the changes will help you avoid getting too much or too little advance payment of the premium tax credit. Getting too much means you may owe additional money or get a smaller refund when you file your taxes. Getting too little could mean missing out on premium assistance to reduce your monthly premiums.   Repayments of excess premium assistance may be limited to an amount between $400