On Your Side: Viewer tax questions, file for free, side hustle and charitable contributions
SPRINGFIELD, Mo. (KY3) - On Your Side received more than one hundred tax questions. Here are answers to the most common questions.
Can you deduct church contribution and the cost of supplement health insurance?
“Charitable contributions and supplement health insurances are generally considered itemized deductions. So if you are going to have itemized deductions that exceed the standard detection that you qualify for, then you might be able to deduct. I will add, there’s a special provision this year as part of the CARES Act, for 2020, taxpayers will be allowed to deduct up to $300 as above the line deduction whether they itemize or take the standard,” said Dr. Kerri Tassin with Missouri State University, Accountancy.
Keep your receipts.
Uncle Sam needs to know about your side hustle.
“That income is considered self employment income. So it is going to be subject to income and self employment taxes. The generally rule is if you earn at least $400 per year, that income must be reported and taxes must be paid,” said Tassin.
Do I need to file federal and state income tax returns if I’m receiving social security disability?
“It depends. If you are receiving social security benefits, retirement benefits or disability and then also receiving other sources of income, depending on the total amount it could start to trigger taxable, of at least some of those social security benefits,” said Tassin.
I was wondering if you could file long forms through the IRS for free or should I use something like Turbo Tax?
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