kristinecpa

If you have independent contractors who do work for you, today is the last day to prepare and issue 1099s for them. January 31 is the official due date, but since it falls on a Saturday this year, you have until Monday February 2 to complete your forms.

Basically, you must prepare a 1099-MISC if you paid $600 or more to an individual to perform services for you. Some examples would be web designers, eBay assistants, virtual assistants, affiliates, accountants, etc.

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Just a reminder that your fourth quarter 2008 tax estimate is due on January 15, 2009.

This estimate goes towards your 2008 tax liability so it reduces the amount you will owe on your 2008 tax return when you file.

To avoid the penalty for not paying enough estimated tax, you need to pay in at least 90% of your 2008 tax liability or 100% of your 2007 tax liability, whichever is less.

Alternatively, you can choose to file and pay your 2008 taxes by January...

Hey bloggers, affiliate marketers, VAs, and other online biz owners...

* Do you worry that you’re paying too much in income taxes?
* Do you worry that you’re not getting all of the deductions you’re entitled to?
* Do you want to learn how to pay fewer taxes and keep more of your profits?

If you're making money online, you have to report and pay taxes on that income. Uncle Sam is really cracking down on people who earn income online, so you need to learn...

In the second half of 2008, the IRS increased the standard mileage rate to 58.5 cents per mile from 50.5 cents per mile for people who use their personal car for business use. This was in response to skyrocketing gas prices earlier in the year.

Since then, gas prices have dropped dramatically. Prices were as high as $4.10 in some states during the summertime, but have dropped to a national average of $1.90 in this last week in November.

I was wondering how the IRS...

It’s hard to believe we’re almost at the end of the year already. As I write this, there are only a few weeks left in 2008.

Most people probably aren’t thinking about taxes yet, but the time to do tax planning is before the year ends. Once December 31 has passed, there’s very little you can do to help reduce your 2008 taxes.

The first step in tax planning is to determine where you are for the year. Pull out last year’s tax return for a reference. You also need your...