Self Employed Health Insurance Deductions

What types of insurance are eligible for the self-employed health insurance deduction? Answer: The deduction may be taken only for premiums paid for medical insurance, dental insurance and qualified long-term care insurance. Moreover, the deduction may be taken only for premiums for insurance that covers the taxpayer, spouse and dependents (Code Sec. 162(l)(1); IRS Pub.…
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Roth vs. Traditional IRA’s

Roth IRAs offer several advantages over traditional IRAs. • First, an individual can make contributions to a Roth IRA regardless of age. • Second, distributions can be made completely tax free, as long as they are qualified distributions (generally, distributions made more than five years after the contribution that are made after the owner has…
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Long Term Capital Gains and Losses

If a taxpayer has a net capital gain, the taxpayer’s long-term capital gains and losses must be separated into three maximum tax rate groups: (1) the 28 percent group; (2) the 25 percent group; and (3) the 15 percent group. The 28 percent group consists of capital gains and losses from collectibles (including works of…
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