One for you, nineteen for me- I'm the taxman.

George Harrison wrote the Beatles tune "Taxman", which has become an anthem for anti-tax activists. Ironically, even as the Beatles song finally becomes available as a digital download, a little tax may be added to its cost.

Digital entertainment had, in many states, been given a bye in taxation as part of the 'nurturing the internet' process. However, as states see their budgets strained to the breaking point, many are looking under every rock for new revenue. Smokers have had the last puff of smoke wrung out of them, the ignorant have gambling opportunities shoved in their face at every opportunity, and red light cameras are spitting out tickets like Lou Pinella spits sunflower seed shells. And still they need more.

The download tax is already in effect in a number of states, and seems bound to spread. It requires little effort on behalf of the state. The vendor is responsible for determining what taxes a buyer owes, collecting those taxes, and paying them to the state in question. And once all states start feeding from this rice bowl, they will have a strong incentive to join the music industry's war on file-sharing. Obviously, online anonymity is a serious problem for tax collectors, so it too will come under fire.

An 'iTunes Tax', as it is called, would also extend to movies, books, any digital entertainment/information you download. Given the growth of streaming content, for which we pay per iteration rather than buy to play in perpetuity, look for states to include a tax on these fees under the digital tax umbrella.

Of death and taxes, I suspect we'll be more likely to see the former drop from the ranks of the inevitable than the latter.

thanks, Engadget

Should I Include a Dependent's Income on My Tax Return?

It may be easier and less expensive to include dependents' income on your tax return rather than have them file their own return—in certain circumstances.

Read More

Brought to you by TurboTax.com

Great Ways to Get Charitable Tax Deductions

Generally, when you give money to a charity, you can use the amount of that donation as an itemized deduction on your tax return. However, not all charities qualify as tax-deductible organizations. While there are many types of charities, they must all meet certain criteria to be classified by the IRS as tax-deductible organizations. There are legitimate tax-deductible organizations in many popular categories, such as those listed below.

Read More

Brought to you by TurboTax.com

Tax Tips After January 1, 2019

TurboTax gives you ten tax saving tips for the new year. Find strategies to lower taxes, save money when preparing your tax return, and avoid tax penalties.

Read More

Brought to you by TurboTax.com

Should You and Your Spouse File Taxes Jointly or Separately?

Married couples have the option to file jointly or separately on their federal income tax returns. The IRS strongly encourages most couples to file joint tax returns by extending several tax breaks to those who file together. In the vast majority of cases, it's best for married couples to file jointly, but there may be a few instances when it's better to submit separate returns.

Read More

Brought to you by TurboTax.com
Read Full Story