The Federal Tax Credits Blog

Posts Tagged ‘tools’

Question: I have a tax id# for my business. How do I establish a line of credit?

I set up my music publishing company and I am registered with ASCAP. I am ultimately looking for about $20G “start up money” to grow my business into a mulitimillion dollar company. But in the immediate future, I only need about $8000 to build my home studio/office. My personal credit is being established because I learned that an insufficient credit history is the same as having bad credit. But I want to use my tax id# as an alternative short term solution until I am in a better position to execute my business plan. If you have any leads, please share. Thank you.

Answer: When you start your business loans are going to be based on your personal credit.

Vehicle registration stickers no longer available at credit union, effective Jan. 1

Fort Bend County Tax Assessor-Collector Patsy Schultz would like to inform the citizens in the Katy area that effective Jan. 1, Brazos Valley Schools Credit Union located at 438 FM 1463 will no longer sell vehicle registration stickers.

ILLINOIS-FILM-OFFICE-TAXCREDIT- flashpoint academy

Question: question about the recovery rebate credit?

i saw on irs.gov that the credit calculator for 2008 tax credit won’t be available until feb 2009.
here’s a scenario i have a question on…
single unmarried mother who’s child was born in 2005. all prior years the father has claimed the child.
this year they separated and she will be claiming him. obviously the stimulus payment in 2008 was based on 07 info and she received 600. now it 2008 she’s HOH and 1 dependent.
now that she has a dependent in 08 shouldn’t she receive $300 recovery rebate credit?
Bob: okay thanks.. thats what i thought but the site i’m using isn’t calculating it for her.. it’s giving her $31?? i thought it might have something to do with the year her son was born

Answer: The check last summer was based on 2007 as an estimate of what you should get. Your situation for 2008 is what determines what you should have got, so when you do your 2008, you will get what is entitled to you for your 2008 situation. Since she has a dependent in 2008 but not in 2007, she will get $300 tacked onto her 2008 refund.

MICHELLE SINGLETARY: A Few Tweaks for a More Secure Future

Despite a still funky economy, many people are doing well.Yes, the unemployment rate is too high. People continue to lose their homes. And credit card debt is smothering many consumers.But as the year comes to a close, I wanted to address questions from readers who are fine financially yet need some tweaks to the way they handle their money. Let’s start with a young couple in their late 20s who …

Question: Taxes – New York – College Tuition Credit?

Here is my situation. I am filing Married Filing Joint and my Wife gets a form 1098-E showing interest paid on a student loan ($290.41). The classes were completed a couple of years ago so she DID NOT ATTEND classes AT ALL in 2007, but is still paying the loan off. We took the “Student Loan Interest Deduction” for Federal Purposes. We do NOT itemize. Can we use the interest paid as “College Tuition Credit” for NY purposes (yes the intitution qualified and we are full time NY residents) – I should get $200 on line 68 of Form IT-201, correct?

Answer: Student loan interest is different that college tuition, so if you didn’t pay tuition, just loan interest, no you can’t just substitute it

The Enduring Lessons of the Last Ten Years

By Inoculated Investor. As the ‘naughties’ (what a perfectly descriptive name for the 2000-2009 period) come to a somewhat anti-climactic close, it is important for those of us in the investment community to take stock of what new lessons have been learned, what immutable laws have been reinforced, and what changes in policy, strategy and execution need to occur in order to avoid a repeat of the …

Obama will “redistribute wealth” so says the New York Times

A key determinant for setting up a business in a given jurisdiction is the income tax regime in force. In today’s economic environment companies are choosing to set up operations or even transfer their businesses to locations where there are considerable tax benefits. Most businesses are specifically concerned with tax matters that have a direct bearing on their business operations such as corporate tax rates, tax incentives, tax treatment of foreign sourced income and indirect tax rates. In this article, we compare the income tax system of Singapore and Malaysia.

To support entrepreneurship and to help foster growth of SMEs, a newly incorporated company that satisfies the qualifying conditions will enjoy full tax exemption on the first S$100,000 of taxable income for each of the first three tax filing years. Malaysia resident companies on the other hand are subject to a corporate income tax rate of 25%. SMEs with a paid-up capital of RM 2.5 million or less are subject to a corporate income tax rate of 20% for the first RM 500,000 of taxable income and 25% on the remaining taxable income.

In Singapore, income taxes are levied on a territorial principle i.e. companies are taxed on Singapore sourced income. The income sourced overseas and retained outside the country is not taxable. Foreign sourced income (branch profits, dividends, service income, etc.) will be taxed only when it is remitted into Singapore, unless the income was already subjected to taxes in a jurisdiction with headline tax rates of at least 15%. Furthermore, as part of the tax changes announced in the 2009 Budget, there is an expansion of scope in the exemption of foreign sourced income. All foreign sourced income earned or accrued outside Singapore on or before 21 January 2009 will be exempted from tax, if the company remits the foreign sourced income to Singapore during 22 Jan 2009 to 21 Jan 2010.

Malaysia also follows a territorial system of taxation whereby companies are taxed on Malaysia sourced income. Resident companies are exempted from income tax on foreign-sourced income remitted into Malaysia, except companies in the banking, insurance, air or sea transport industries which are taxed on a worldwide basis. Both Singapore and Malaysia follow a single-tier corporate income tax system, which means there is no double-taxation for stakeholders.
Singapore provides various industry-specific and investment related income tax incentives for the following business sectors: financial services industry, fund management industry, global trading sector, shipping and maritime industry, event management industry, e-commerce industry, insurance industry and the processing services sector. A tax treaty between two countries is generally an agreement that specifies how the income earned will be taxed by the authorities of each country when a company is involved in doing business in both countries.

Indirect tax such as VAT or GST is an area of concern for most businesses, as it increases the selling price of goods and services. Although the principles of indirect taxation are very similar all over the world, there are certain significant differences between the VAT or GST rates of various jurisdictions. Goods and Services Tax (GST) is a consumption tax that is levied on the supply of goods and services in Singapore and the import of goods into Singapore. A GST registered company must collect GST tax from its customers for the goods and services rendered by the company and then pay the tax collected to tax authorities. Singapore resident companies must register for GST when the annual turnover is above or expected to be above 1 million SGD.
The GST rate in Singapore stands at 7%. Malaysia currently imposes a service tax and sales tax on certain prescribed goods and services.

A service tax applies to certain prescribed goods and services in Malaysia including food, drinks and tobacco; health services; provision of accommodation and most professional and consultancy services. The rate of service tax is currently fixed at 5%. Given Singapore’s emergence as the best place to business and its attractive income tax rates, more international businesses choose Singapore as their preferred destination for business set-up and expansion.

Personal finance: A mutual understanding

Learn more about mutual funds

Doom & Gloom Report 5 !!

Question: Instead of bailing ou the auto companies directly wouldn’t it make more sense to?

…give incentives buyers of cars from the Big 3? Like we did with hybrids, offer a $2500, $3500 or even $5000 tax credit to anyone who buys these cars. That would spur sales and put the decision to buy or not (and what to buy) directly in the hands of the consumer.

Answer: The problem is that people are not buying their cars. Not overinflated salaries as some people blindly think.

No one wants the gas guzzlers anymore. They want fuel efficient cars.

The big rise in gas did more to hurt this Country economically than anything else.

Stock Funds Rocket Out Of The Ditch

Stock mutual funds pulled a Lazarus in 2009. After falling into a deep hole, they leapt and rejoined the land of the living.

American Parkway Auto Sales 2009 Tax Season