Tips for Tax Procrastinators: twelve ways to deal with April15thophobia

Every year on the night of April 14th, post offices across the U.S. are swamped by a tsunami of last-minute tax filers. The complexity of our tax system, the amount of money some people must come up with to pay off their tax debts, and good old human procrastination are all to blame.

All is not lost, however. In this series, WalletPop comes to the rescue of those looking down the barrel of a 1040, with a eleven suggestions from our tax expert Tracy Coenen and one from me on how to deal with last-minute preparation and establish the framework to avoid a repeat in 2009.




What is Form 8958: Allocation of Tax Amounts Between Certain Individuals in Community Property State

Several states have "community property" laws, which say that most income earned and most assets acquired during a marriage are the equal property of both spouses, regardless of whose name is on the check or the title. This can sometimes create additional work for couples filing separately for federal income taxes. The Internal Revenue Service (IRS) created Form 8958 to allow couples in community property states to correctly allocate income to each spouse that may not match what is reported to the IRS.

Read More

Brought to you by TurboTax.com

What Is the IRS Form 8863?

If you plan on claiming one of the IRS educational tax credits, be sure to fill out a Form 8863 and attach it to your tax return. These credits can provide a dollar-for-dollar reduction in the amount of tax you owe at the end of the year for the costs you incur to attend school. Before preparing the form, however, make sure that you satisfy the requirements of an eligible student.

Read More

Brought to you by TurboTax.com

Getting Divorced

If you're going through a divorce, taxes may be the last thing on your mind, so we're here to help. We've got tips for you on which filing status to choose after the divorce, who can claim the exemptions for the kids, and how payments to an ex-spouse are treated for tax purposes.

Read More

Brought to you by TurboTax.com

Tax Tips for Bitcoin and Virtual Currency

Virtual currency like Bitcoin has shifted into the public eye in recent years. Some employees are paid with Bitcoin, more than a few retailers accept Bitcoin as payment, and others hold the e-currency as a capital asset. Recently, the Internal Revenue Service (IRS) clarified the tax treatment of Bitcoin and Bitcoin transactions.

Read More

Brought to you by TurboTax.com
Read Full Story