Clarity Tax Group
Preparing your experience
Please hold
Loading tailored solutions…
Stay informed with the latest updates on tax strategy, accounting compliance, and financial best practices from the Clarity Tax Group team.
The moment tax season hits, everyone is on the lookout for strategies to lower their tax bill. A couple of strategies that come to mind for most people are tax deductions and tax credits. While both can help you save some money, deduction vs credit difference function quite distinctly from each other. And knowing deduction vs credit difference is important for good tax planning.
Read articleThe very idea of being notified that you are now subject to backup withholding would elicit frustration to many people. An upfront payment reduction of 24% certainly feels hefty. However, is backup withholding as bad as it is made out to be? Or can it serve some useful purpose? Here is a breakdown of what is backup withholding, alongside its pros and cons.
Read articleDuring tax season, many individuals actively look for strategies to reduce their tax liabilities. Two of the primary approaches used by taxpayers to reduce their tax bills are tax deductions and tax credits. While both of them benefit the taxpayer financially, their mechanisms are quite different—and knowing which one is more beneficial can prove to be quite useful.
Read articleWhen it comes to taxes, some states have higher taxes than others, or in some cases, there is no tax at all. If you are searching for the right state to claim for taxes, it depends on the financial situation as well as the lifestyle one is maintaining.
Read article
Being double-resident means a person is deemed a resident of two different states simultaneously for taxation purposes. This is common because every state has its own method of gauging residency, meaning a person can satisfy both sets of rules in a given year.
Read articleMany homeowners believe that they can claim all of their property taxes on their federal tax return. Unfortunately, there is a limit on how much property tax can be claimed as an itemized deduction.
Read articleBeing notified that you’re subject to IRS backup withholding might raise the question of how to stop such restriction. Backup withholding is not permanent; it is a temporary method to enforce compliance when your taxpayer information does not match IRS records or when there is a history of income underreporting. Below are the steps to resolving the issue.
Read articleWhen it’s tax season, there’s often the mention of tax deductions which are said to lower the tax payable, but what really is a deduction and why is it important?
Read articleThe state of New York does not have a simple ‘one size fits all’ sales tax calculation. New York operates under a combined tax system that has a state rate of 4% with an additional layer of local taxes implemented by cities and counties. These local taxes can vary a lot depending where items are purchased, and for New Yorkers, that makes a huge difference.
Read articleSimply filling out a form or using a mailing address will not get someone residency in a particular state. Every state has its rules regarding tax obligations, voting, tuition, and even legal benefits.
Read article
Everyone wants to lower their tax bill come tax season. One of the most effective methods to lower tax bills is through a tax deduction or a tax credit. Although both methods can save money, knowing their differences can help maximize savings.
Read articleBackup withholding is when the IRS mandates withholding of 24% of certain payments when a taxpayer’s information is missing or erroneous. This may apply to a lot of individuals and businesses, however, some taxpayers are exempt from backup withholding under IRS rules. Knowing these exemptions can help you navigate withholdings and ensure prompt financial dealings.
Read article