Working in the service industry may be rewarding mostly because of the tips you receive. Earning basic pay is less satisfying than saving money, whether in the service industry or elsewhere. Any money made in cash on the spot is not reported to the government since it is not reported to the bank.

The home office tax deduction is a way for taxpayers who use their home as their primary place of business to get some tax savings. This deduction can be claimed by people who work from home, run a home business, or who have an area dedicated to their job in residence. The IRS allows homeowners to deduct certain home office expenses from their taxable income, reducing the amount of tax they owe.

The tax season can be a stressful and frustrating time of the year. Working out your taxes, understanding the latest laws, and ensuring you maximize deductions can be challenging. Fortunately, there are 16 legal secrets that you may use to reduce your taxes so that you pay less come April 15th.

You prove that you were unaware of the tax and penalty understatement when you signed the joint return and that you had no reason to be aware of it at the time. It would be unjust to hold you responsible for the understatement of tax given the totality of the facts and circumstances

What are taxes? Governments must collect taxes from their citizens as a kind of mandated contribution. In the United States, the collection of federal income taxes is the responsibility of the Internal Revenue Service (IRS).

Through its Fresh Start program, the IRS offers a variety of flexible payment options that make it easier for taxpayers to pay off their debts. This includes longer-term repayment plans, reduced monthly payments if a taxpayer's income has been impacted due to the pandemic or other factors, and the ability to pay with a credit card or other payment methods. The IRS will also waive specific penalties in exceptional circumstances, such as if a taxpayer can show they could not pay due to financial hardship.