For most individuals, the federal income tax rates for 2013 will be the same as last year.  However, the Taxpayer Relief Act, passed early this year, increased the maximum rates for higher-income individuals to 39.6% (up from 35%) on ordinary income and 20% (up from 15%) on capital gains and dividends.  These increases will hit married filing joint (MFJ) couples with taxable income above $450,000 ($400,000 for singles).  In addition, the new 0.9% Medicare tax

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Just a little financial humor... A young boy enters a barber shop and the barber whispers to his customer, “This is the dumbest kid in the world. Watch while I prove it to you.” The barber puts a dollar bill in one hand and two quarters in the other, then calls the boy over and asks, “Which do you want, son?” The boy takes the quarters and leaves. “What did I tell you?” said the

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One area of tax rules that we get most of our questions on is the use of a car - what's deductible, how it's calculated, and which is better - buy vs. lease.   That being said, let me explain it here for you as a reference.   There are two calculations - 1) Standard Mileage Rate Method and 2) Actual Cost - that get performed to determine a deduction for auto use and you take the

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As you start to see your tax docs arriving in your mailbox or email Inbox, here's a little tax humor to start "The Season"... A man wrote a letter to the IRS: “I have been unable to sleep knowing that I have cheated on my income tax. I understated my taxable income and have enclosed a check for $200.00. If I still can’t sleep, I will send the rest.”

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