| Community Property Rules |
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| The issue of community property rights is usually only relevant when a married couple decides to file separate income tax returns. Joint filers have no need to distinguish between community and separate income because all income is reported on a single tax return. There are currently nine community property states: Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. Under the laws of these states, one half of the income and property earned and acquired by spouses during their marriage is generally deemed to belong to each spouse, no matter in whose name the legal title is held.More... |
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| Exclusion of Meals Furnished by an Employer from Gross Income |
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| In general, the value of meals provided by or on behalf of an employer to an employee, the employee's spouse, or his or her dependents is not included in the employee's gross income if two conditions are met. First, the meals must be furnished on the premises of the employer, and second, the meals must be furnished for the convenience of the employer. The exclusion only applies to meals furnished by an employer and not to cash reimbursements for meals.More... |
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| Fringe Benefits |
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| Fringe benefits are forms of compensation for a worker's performance of services, and they include plans for insurance, dependent care, discounts, company cars, meals and lodging, and no-additional cost services. In general, fringe benefits are taxable unless a law specifically excludes them from taxation. The amount an employer must include in compensation is the value of the benefit that exceeds the amount excludable by law and paid for by the employee.More... |
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| Taxable Income for Students |
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| The life of a student is a busy one. Classes, athletics, jobs, and social engagements fill every spare moment of your day and a good part of your nights too. So the intricacies of the federal income tax laws are low on your list of things-to-worry-about. However, if you have certain types of income, you may be required to file a tax return and pay taxes. Failure to do so can lead to penalties and interest.More... |
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| Enforcement Against Nonfilers |
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| It is the obligation of all citizens and residents to comply with the requirements of the tax laws by filing returns and paying taxes. The Internal Revenue Service takes the position that taxpayers who fail to file income tax returns and who stop paying taxes pose a serious threat to the economy of the nation. Therefore, the IRS is using its Criminal Investigation personnel for outreach, education, and enforcement of the tax laws if they have been violated. More... |
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