| Employer-Provided Child Care Credit |
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| In order to encourage businesses to provide child care for their employees, Congress has recently created a tax incentive for those employers who make certain qualified child care expenditures. The amount of the credit allowable in a tax year is the sum of 25 percent of qualified child care expenditures plus 10 percent of qualified resources and referral expenditures. The credit is limited to a maximum of $150,000 for any tax year. More... |
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| Auditor's Examination of a Business |
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| When you are audited, the IRS examiner looks at more than your tax return. He or she compares you, the taxpayer, with the amounts reported on your tax return. If the audit is conducted in your office or home, the examiner will look all around at the surroundings to get a feel for whether the tax return reflects your life style. The auditor is looking for the "economic reality" of your situation. More... |
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| Home Mortgage Interest |
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| Most of us cannot afford to write a check for the full cost of a home. We usually go to a bank or another lender for a loan, which is called a mortgage, and we make monthly payments consisting of both principal and interest. Usually, you are entitled to deduct the entire portion of the yearly payments that is interest if you itemize deductions. If it is more advantageous for you to take a standard deduction, you will not get any additional benefit from the mortgage interest paid during the year. More... |
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| Partnership Audits |
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| Even though it is the individual partners, not the partnership, that are responsible for reporting and paying taxes on any gains or losses recognized by the partnership, audit proceedings on partnership items are conducted on the partnership, not the individual, level. More... |
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| Capitalization of Motion Picture, Master Recording, and Video Expenses |
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| If you are the producer of a movie or sound recording, you already know that you spend a lot of money before your creation is ready to earn some money. The question is how you handle all of those incurred expenses for federal income tax purposes. More... |
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