Filing taxes can be a time-consuming process and can have the potential to be a source of a fair amount of stress. So, the upcoming tax season is something that may fill some with a small measure of dread.
Among the deductions individuals can claim on their taxes are deductions for automobile operating costs related to certain activities. Among the car travel a driver might be able to deduct such costs in relation to are: travel related to service to charities, travel for moving purposes, travel for medical purposes and business travel.
The main way people pay their taxes over the course of the year is through having a portion of their wages withheld. However, this is not the only method for during-the-year tax payments. Another major type are estimated taxes.
Wages aren’t the only thing a worker can get from their employer. For example, they may also receive certain fringe benefits in connection to their job. How are such benefits treated for tax purposes? Well, fringe benefits generally are taxable income. Thus, they typically are required to be reported as pay by the employer and can expose the recipient employee to added tax liability.