FAQ

Q. What is the age and or income limit of the dependents that I claim on my taxes?

A. The Age Limit is 21. 24 if the dependent is a full time student. The income limit is approximately $7,000.

Q. What is the amount of income I can make before it is mandatory that I file taxes?

A. The mandatory income limit is approximately $7,000. If you have taxes withheld you should file even if income was less.

Q. Can I file an extension if I am not ready to file before the deadline even if I do not owe the IRS, and if I owe do I have to submit a payment with the extension?

A. Yes you should file an extension if your paperwork is not ready before the deadline. Submit a payment with your extension if you think you will owe. An extension is only allowing you time to get your paperwork submitted. It is not allowing you time to make your payment.

Q. Is Social Security and or retirement income taxable?

A. Yes

Q. Will I have to pay taxes if I sell my house or withdraw from my 401k?

A. If you are single and your proceeds are $250,000 or more or if you are married filing jointly and your proceeds are $500,000 you are required to pay capital gain taxes. You are required to pay taxes if you withdraw from a 401K or Deferred Compensation.