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I am Self-Employed, do I have to pay taxes?
Self-employment tax refers to the taxes that are remitted by individuals who work as freelancers or independent contractors. This tax amount encompasses the Social Security and Medicare taxes. For the tax year 2023, the self-employment tax rate stands at 15.3%. Being a freelancer or independent contractor offers numerous advantages, such as the ability to oversee…
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How To File and Pay Taxes as a Sole Proprietor
Sole proprietorship taxes often pose a perplexing challenge for numerous entrepreneurs. Even individuals possessing substantial experience in managing small businesses may encounter difficulties when it comes to identifying the appropriate tax forms to complete, determining deductible expenses, calculating intricate figures, and discerning the appropriate timing and method of payment. The subsequent responses to frequently asked…
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My Business Owes Back Taxes: What do I do next?
Many entrepreneurs strive to fulfill their obligations by promptly and completely settling their small-business taxes. Nevertheless, it is plausible to overlook a deadline due to an overwhelming number of daily responsibilities or an unmanageable tax liability. Neglecting to file and remit overdue taxes can result in various complications and sanctions. Therefore, it is imperative to…
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What does the new 2023-2024 Tax Bracket mean?
For the years 2023 and 2024, there are seven federal income tax rates ranging from 10% to 37%. Your filing status and taxable income determine the tax brackets and rates that apply to you. These adjustments ensure that the increasing cost of living does not force taxpayers into a higher tax bracket. Furthermore, these adjustments…
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Closing Cost and Tax Deductions
What are Tax Deductions? Tax deductions refer to the expenses that can be claimed on an individual’s federal tax return to decrease their taxable income. By availing these deductions, the amount of taxes payable in a particular year can be reduced. Taxpayers have the option to either itemize their taxes by calculating their individual deductions…
