The Good Tax Guide » Tax Tips http://goodtaxguide.net Free Information and Tips on Tax Issues Sun, 02 May 2010 14:08:55 +0000 en hourly 1 http://wordpress.org/?v=3.0 Tax on employee achievement awards http://goodtaxguide.net/tax-employee-achievement-awards/ http://goodtaxguide.net/tax-employee-achievement-awards/#comments Mon, 27 Oct 2008 08:17:43 +0000 Tax Guide http://goodtaxguide.net/?p=50 One can reduce the tax in case of an employee achievement award if and only if the employer deducts the employee achievement awards on its tax returns. Not only that, there are some other requirements which are to be fulfilled in order to get excluded from this tax. The IRS has mentioned the requirements clearly. According to their rules the reduction will be made as a part of meaningful presentation only. Also they have mentioned a limit above which such deductions will not be granted. Only those amounts which come under this limit will be considered for tax reduction if other requirements are met. It can be avoided from tax if it is given in the form of gift certificates rather than in the form of cash. It will be excluded if the amount is given for the service of the person towards the company for long time. Such achievement awards can be categorised in to two plans basically. They are non tax qualified plan and tax qualified plan. In the case of the tax qualified plan tax will be deducted for that tax year. But in the case of non taxable qualified plan they are eligible for tax exemption.

]]> http://goodtaxguide.net/tax-employee-achievement-awards/feed/ 0 How to avoid errors in common tax returns? http://goodtaxguide.net/avoid-errors-in-common-tax-returns/ http://goodtaxguide.net/avoid-errors-in-common-tax-returns/#comments Wed, 24 Sep 2008 04:13:41 +0000 Tax Guide http://goodtaxguide.net/?p=10 The first and foremost thing is to make sure that you use the correct tax form. Make sure that you print the name, social security number, address and zip code correctly on the tax return. In case if you have to make any changes in the entries contact the security administrator. Make sure that the social security number is entered on all the schedules and statements related to tax. Make sure that you file the correct tax status. Also ensure that the name and social security numbers are entered correctly in to the form as it is written on the social security cards.

Always put the negative amount on your tax return in brackets. Make sure that you use the correct base amount on tax filing status in case of taxable social security. Do a comparison between itemized tax deduction and standard tax deduction, So that you can take the larger of two errors. Make sure that you don not make any mistake while doing calculations in the tax form. Always keep the copy of the signed tax returns and all other schedules on tax in your records. In case if you have got any tax withheld make sure that you attach The Form 1990s.

]]> http://goodtaxguide.net/avoid-errors-in-common-tax-returns/feed/ 0