YouTube has made it possible for anyone to become a star and earn good money (Remember the Korean guy, Psy?). So you might very well be one of the many people who earn money through your YouTube channel. If you earned at least $600 last year, you should be receiving a Form 1099 soon if you have not already. Look at your earnings as business earnings and your video shooting as a business.
Many New Yorkers leave New York for various reasons, one of which is the high tax rate in the state. And studies show that no small number of New Yorkers choose to relocate themselves to Florida to enjoy the benefit of zero personal income taxes. In fact, each year more New Yorkers choose to go do Florida than any other state. The current number stands at about 55,000. But emigrating from New York to Florida may not mean you are exempted from taxes by the New York state government.
If you are paying taxes for the first time, there are a few things you should consider. For one, you must decide on which filing status you fall under. There are three statuses you may be under if you are an individual – Single/head of household, Married filing jointly with spouse and Married filing separately from spouse.
You fill in a W-4 each time you start a new job. Using your W-4, your employer calculates the amount of withholding to apply to your paycheck each month. If you withhold too much, the IRS refunds you the excess at tax season each year. If you withhold too little, you have to pay the IRS the difference. Most Americans withhold too much. That is why the average amount of refunds per taxpayer based on last year's taxes collected is $2,847.
It seems that the IRS makes its presence known in everything you do in your life. Getting married, getting divorced, having a baby, transferring to a new job, buying a home and even purchasing an energy efficient car have tax implications. The effects of alimony on your withholding tax and the forms of IRS assistance on this matter will be discussed in this write-up.