IR-2014-52, April 11, 2014 WASHINGTON — The Internal Revenue Service reminds U.S. citizens and resident aliens, including those with dual citizenship who have lived or worked abroad during all or part of 2013, that they may have a U.S. tax liability and a filing requirement in...
Question: Are scholarships and grants subject to federal income tax? Answer: That depends on several factors. If you are a candidate for a degree at an educational institution and receive a qualified scholarship or fellowship that you use for tuition, fees, and required expenses (e.g., books, supplies, and...
Question: Our daughter will be taking one of our family cars to college. Is this allowed under our auto insurance policy? Answer: It is, as long as your daughter is listed on your insurance policy as either a principal driver or an occasional driver. You should check with...
The third full week in October has been designated as National Estate Planning Awareness Week. Estate planning is a vital component of every financial plan, regardless of the size of the estate. Unfortunately, it's also an area that is commonly overlooked. This often results in...
The taxation of your investment income depends on several factors, including the type of investment income you have (e.g., tax exempt, ordinary, capital gain, or tax deferred). If you have municipal bonds, the interest they generate is typically exempt from federal taxation and state taxation in...
The Medicare open enrollment period is the time during which people with Medicare can make new choices and pick plans that work best for them. Each year Medicare plans typically change what they cost and cover. In addition, your health-care needs may have changed over...
This month we are discussing small businesses and the tax implications of transferring a family-owned business to another family member. Today’s topic is family limited partnerships. Question: What is a family limited partnership, and will it help reduce estate taxes? Answer: A family limited partnership (FLP) is a partnership created...
Last week we highlighted a local business, Craven Farm, and the shift from traditional farming to the incorporation of agri-entertainment/agri-tourism. Originally a dairy farm, Craven Farm was purchased by Walt and Lydia Krieger nearly 65 years ago and is owned and operated today by their...
Today, women have more financial responsibilities than ever before. How will your family or loved ones manage financially if you die? Whether you are single, married, employed, or a stay-at-home mom, you probably need life insurance. At the very least, life insurance can help pay...
Answer: You are not responsible for your future spouse's bad credit or debt, unless you choose to take it on by getting a loan together to pay off the debt. However, your future spouse's credit problems can prevent you from getting credit as a couple after...
