TaxCure Blog

Every year, millions – perhaps billions – of dollars in tax revenue go uncollected because of questionable practices that allow for tax evasion. However, the IRS has been hoping to reduce that amount, and encourage whistleblowers to come forward and share what they know.

One of the most confusing aspects of our tax code is the alternative minimum tax, or AMT. The AMT is actually a tax system that runs parallel to the current code. The point of the AMT is to make sure that certain taxpayers actually pay a minimum amount of tax. (Although, like the “regular” tax code, there are ways to avoid even paying the AMT.)

When you run into tough times and have liabilities canceled or forgiven, you are often so relieved for the problem to be over that you don’t think about the tax consequences. In fact, you might be forgiven for thinking that there aren’t any tax consequences. After all, you don’t have any money. That’s why your loan was canceled.

As the United States Olympic team heads back from a very successful showing in the 2012 London Olympics the IRS is eagerly awaiting their return. U.S athletes are responsible for paying income tax on any winnings that they had overseas and some tax law precedence also says that they must pay taxes on the actual value of the medals they received.

You never know when a natural disaster will strike, or when an unexpected catastrophe will occur. Businesses and individuals need to be aware of the impact that such events can have on their tax records.