The Child Tax Credit: Planning for Change
The Child Tax Credit is a valuable tax credit that helps many families reduce their tax burden. For the 2024 tax year, the maximum credit is $2,000 per qualifying child and $500 for other dependents. Additionally, the refundable portion, known as the Additional Child Tax Credit (ACTC), is up to $1,500 for 2024. Key Takeaways […]
Early 401(k) Withdrawals: Penalties and Exceptions
Understand the penalties and exceptions for early 401(k) withdrawals to make informed decisions about your retirement savings.
How many dependents can I claim? – Requirements, How to Claim 2024-2025
Maximize your tax savings by understanding IRS dependent rules, qualifying criteria, and available tax benefits.
Should You Take the Standard Deduction or Itemize?
Learn how to decide between the standard deduction and itemizing to minimize your tax bill this year.
Choosing the Right Tax Professional: Questions You Need to Ask
Find the perfect tax professional by asking key questions about their qualifications, communication style, specialization, fees, and audit representation to ensure you receive expert tax services and peace of mind.
Is Your Employer-Paid Life Insurance Taxable? Find Out Now!
Discover how employer-provided life insurance benefits can unexpectedly impact your taxes, learn about the $50,000 tax-free limit, and explore strategies to avoid tax surprises.
Navigating Capital Gains Tax in Business Sales: Cash vs. Equity Compensation
Selling a business is a major financial and life decision. Whether you’re a seasoned entrepreneur or a first-time business owner, understanding the tax implications is crucial for maximizing your after-tax proceeds. One area that often causes confusion is how capital gains taxes apply when the sale involves a mix of cash and equity compensation. At […]
Tax Consequences of IRA Recharacterizations: What to Expect When You Convert
Understand the tax consequences of recharacterizing or converting your IRA contributions to optimize your retirement savings strategy, and learn how XOA TAX can help you navigate these complex transactions.
Understanding the Pro Rata Rule: What High Earners Need to Know About Roth Conversions
At XOA TAX, we regularly guide individuals on maximizing their retirement savings. Converting a traditional IRA to a Roth IRA is a popular tactic, but it’s crucial to understand the implications of the pro rata rule before you begin. This rule can significantly impact your tax liability, especially for high earners considering conversions in 2024. […]
Understanding the Tax Implications of Transferring Joint Brokerage Accounts
Transferring assets from a joint brokerage account to an individual account is a common strategy used in estate planning, gifting, or simply managing personal finances. However, it’s important to be aware of the potential tax consequences before making any changes. This article will guide you through the key tax considerations involved in transferring joint brokerage […]
