Kostecke CPA

All posts tagged tax planning

The American Opportunity Tax CreditThe American Opportunity Tax Credit, or AOTC, is the best way you can recoup some of your investment in your family’s education. You can get up to $2500 in tax credits if you qualify.

Qualifying for the American Opportunity Tax Credit

Here are the qualifications: Read more


The clothing tax deductionI often hear from clients that they had to buy special clothes – could be a business suit for interviewing, or nice pants/shirts/shoes, etc., that they only wear at work. They want to deduct these costs as business expenses; taking advantage of whatever clothing tax deduction that is allowable by the IRS. Most of the time, these deductions are not Read more


Tax Liability - Avoid Federal Tax PenalitiesTis the season for 2015 tax estimates and figuring out how much this year’s quarterly payments need to be. When you’re self-employed, or you get a significant amount of income from investments, it can be difficult to figure out the right amount to pay in. Who knows what lies ahead for your business, your investments, and the Read more


Your tax preparation checklist can save you time and a lot of griefLast year at around this time I provided some tips on how to save money on your taxes after December 31st. This article is also about saving you money and quite possibly a bit of time.

Perhaps you have just received your 47-page tax organizer in the mail Read more


Self-Employment TaxCompany picnics, parties and other events can be tax deductible, provided you have good documentation and understanding of the rules for tax deductible expenses.

Companies throw parties for different reasons. Sometimes it is primarily as a morale booster for employees Read more


what can i deduct from my taxesWhat meals are tax deductible business expenses? For most types of businesses and circumstances, the deduction is equal to half the cost when the purpose is clearly for business. Read more


Self-Employment TaxSmall business people, entrepreneurs, and independent contractors should know before they start that they will probably have to pay self-employment taxes on their net income. But just in case you hadn’t heard the news, you have to pay self-employment taxes on your net income! So what is self-employment tax anyway? Read more


Tax Complexities for Married Same-Sex Couples in WisconsinIn June 2013, the Supreme Court ruled Section 3 of the Defense of Marriage Act unconstitutional. Section 3 limited the definition of marriage to couples of the opposite sex. This change has broad impact on the tax code and on eligibility for certain employee and retiree benefits. The IRS has just begun to set up the rules Read more


Internet sales tax problem revealedThere has been a lot of discussion about the proposed law to impose sales tax on internet sales. First of all, this is not a new tax. If you live in a state with a sales tax, you have always been required to pay “use tax” if the vendor did not collect sales tax. Very few people paid this tax, however, because it was hard to keep track of, or Read more