Before the mid year point hits for 2019, taxpayers need to take a look at their paychecks to review their current income tax situations. Many Americans were presented with a less than favorable income tax refund, or even owed more than they may have paid in the past. Most of this was due to new tax laws that went into effect for the 2018 tax year and also adjustments to W2 employees withholding.
If you do nothing about your income tax situation now, you will most likely have the same outcome for the 2019 income tax season. Now is the time to review and fix your income tax situation. When you meet with your income tax pro next year, its already to late!
Barnum Tax can review your last year’s income tax return, review your current State and Federal Income Tax Withholding, and recommend adjustments to ensure a better outcome for this coming 2019 income tax season! We will also look to see if you missed any income tax credits or left any other money on the table by reviewing you prior year tax returns.
We are located in Stratford, CT, servicing the greater Bridgeport area, but with the use of technology, you can upload your documents to our secure services allowing us to help taxpayers throughout the United States!
For a year review, contact Barnum Tax at 203-900-4413 or firstname.lastname@example.org .
For the 2018 Income Tax Year, the child tax credit has changed significantly. Below is a quick outline of some of the changes for the 2018 income tax season.
Child Tax Credit Amount –
The Child Tax Credit Amount has increased from $1000 in 2017 to $2000 for the 2018 income tax yea. Requirements for receiving the Child Tax Credits have not changed.
Child Tax Credit Limits-
For 2018, the Earned Income Credit Threshold is $2500. This means you must earn atleast $2500 in the 2018 Tax Year for claim the Earned Income Credit aka EIC.
Child Tax Credit Income Phase Out –
The Income Phase Out for Earned Income Credit for 2018 is now $200,000 for single filers adjusted gross income (AGI), and $400,000 for married filling jointly adjusted gross income (AGI). This has increased in 2018 from he 2017 tax year.
If you have additional questions regarding Earned Income Credit, Child Tax Credit, or any other Income Tax related questions, Contact Barnum Tax at 1-877-482-9826.
Here are a few updates for the 2019 Income Tax Year
For 2019 the Child Income Tax Credit will remain at $2000 per child and has not changed from 2018.
In 2019, the Additional Child Tax Credit Earnings Threshold is also still $2500.
Child Tax Credit Phase Out for 2019 also remains the same at for single filers and head of household filers with an adjusted gross income (AGI) of $200,000, and $400,000 for married filling jointly adjusted gross income (AGI).
The yearly income tax deadline for filing taxes for those who filed extensions before the April deadline is October 15. If you did not file by October 15th, and/or have not paid some of the money for taxes due, you may face failure-to-pay penalties for the past due amount. To avoid this, you should always consult a tax professional to estimate how much income tax is due to make the estimated payment before the April deadline, which is April 15 for most years. You can contact Barnum Tax at 1-877-482-9826 to file your extension, taxes, or help with estimating taxes due.
One of the big questions out there right now about working Rideshare companies like UBER and LYFT is, do you really make money at the end of the day?
The short answer to this question is yes, you will make money driving for rideshares. At the end of the week, you will see a deposit of real money in your bank account. This however does not mean that you will see a profit once everything is said and done.
UBER and LYFT both offer driver start up bonuses to new drivers. These bonuses can add up to $1000 for driving UBER and LYFT if you meet the requirements set by the company. This bonus is for sure worth while since it is in addition to the earnings paid for each ride you give to you customers.
Now lets talk about what takes away from your actual profits. A few factors that dig into your UBER and LYFT profits and need to be considered are fuel costs, vehicle wear and tear on your vehicle, vehicle depreciation, and income taxes. Deducting these factors can drastically reduce your profits that were deposited into you account at the end of the week.
A feature that can help you maximize your profits while driving UBER and LYFT is the ability to set a destination while going online. The way this feature works is that you set your final destination to the place that you are headed to already, and UBER and LYFT will find rides on your way to that destination. For example, if you have a long commute to work, you can leave a bit earlier, set your work address as your destination, and UBER and LYFT will find rides on the way to your workplace. This eliminates a few of the factors mentioned above. You are already using the gas to drive to work and wear and tear and depreciation are occurring already also as a part of your normal commute. While using destination mode when driving UBER and LYFT the only factor that reduces your profits is the tax you will pay on the income that is earned from rides given. This income tax liability can be reduced with tax planning and wisely deducting at tax time. UBER and LYFT drivers can deduct certain expenses related to driving that can reduce income tax liabilities.
In conclusion, you can make money, and profit while driving for rideshares UBER and LYFT. New Driver Bonus for LYFT and New Driver Bonus for UBER can add up $1000 to your bank account when starting your rideshare driving career. Using destination mode in the UBER and LYFT apps will help you earn money while driving to your destination helping you maximize your profits while driving to a destination you are already headed to.
Want to start driving for UBER and LYFT? Click the links below for current sign on bonus offers for UBER and LYFT!
Start Driving UBER and Get a Startup Bonus
Start Driving LYFT and Get a Startup Bonus
If you are a UBER or LYFT driver already and have income tax related questions, contact Barnum Tax with any income tax related questions in regards to your UBER and LYFT earnings at 1-877-482-9826.
Barnum Tax’s Money Talks Blog is geared towards current and new clients and educating them on financial topics. Topics will include, money, debt, lending, tax, and more for both personal and businesses. We will also feature some money hacks with ways to save money in your day to day life. Creative ways to make money will also be discussed, as making money is the best way to get rid of debt, save money, and have a healthy financial life. We will also announce new business new for Barnum Tax to keep our followers up to date with the latest and greatest that Barnum Tax is up to.