Tax Tips: Will I have to pay state tax on my federal tax rebate check?

As everyone eagerly awaits their "economic stimulus" checks from the federal government, scheduled to begin mailing in May, there's a bit of bad news coming. Each state must decide whether or not they are going to tax the rebate check you get. There is no law prohibiting the states from considering it taxable, and some states surely will.

According to the blog Don't Mess With Taxes, Alabama has said they're taxing the rebate, while New York, Oregon, California, and Iowa have said they are not. Obviously, we've got a ton of other states that must still weigh in on the issue. But don't be surprised if your state decides to tax you... the politicians are always looking for an excuse to get further into your pockets!

Tracy L. Coenen, CPA, MBA, CFE performs fraud examinations and financial investigations for her company Sequence Inc. Forensic Accounting, and is the author of Essentials of Corporate Fraud.

Getting Married: What Newlyweds Need to Know

Getting married? Have you thought about how it will impact your taxes? You may need to select a tax filing status, adjust your withholding and sell your home.

Read More

Brought to you by TurboTax.com

An Early Withdrawal From Your 401(k): Understanding the Consequences

Cashing out or taking a loan on your 401(k) are two viable options if you're in need of funds. But, before you do so, here's a few things to know about the possible impacts on your taxes of an early withdrawal from your 401(k).

Read More

Brought to you by TurboTax.com

Guide to Unemployment and Taxes

The IRS considers unemployment compensation to be taxable income—which you must report on your federal tax return. State unemployment divisions issue an IRS Form 1099-G to each individual who receives unemployment benefits during the year.

Read More

Brought to you by TurboTax.com

10 Tax Tips for Filing an Amended Return

Say you happily filed your tax return by the end of February and were the envy of all your friends, but in June you realized you forgot to include income from last summer's freelance job. Don’t worry, all you need to do is file an amended return using Form 1040X.

Read More

Brought to you by TurboTax.com
Read Full Story
Your resource on tax filing
Tax season is here! Check out the Tax Center on AOL Finance for all the tips and tools you need to maximize your return.