Form 8863—Education Credits must be claimed if a taxpayer is going to claim Lifetime Learning Credit on their federal income tax returns. You can claim up 20% of the first $10,000 of qualified education expenses in Lifetime Learning Credit. This equals to $2,000 per tax return. Although this gives taxpayers a well amount to reduce … Read more
Form 8843—Statement for Exempt Individuals and Individuals With a Medical Condition is for aliens. If you’re an alien who was present in the United States during under F-1, F-2, J-1, or J-2 visas, or a nonresident alien, file Form 8843. This is an information statement, not a tax return. You will file Form 8843 to … Read more
How to File an IRS Form 8889 Form 8889 must be submitted with your tax return if your income exceeds $1500. Your taxable income and the amount of taxes owed are calculated using the form. A schedule or document must be included with this form. Include all your programs and documents, along with any deductions … Read more
Why are taxes withheld from paycheck? The income taxes and other taxes are withheld from employee’s paychecks by employers when processing payroll. This is how employees pay their taxes in general. As far as the income taxes go, this is definitely the best way to pay these taxes as you will pay gradually rather than … Read more