He Made $24K Trading. He Owed $40K in Tax — A Wash Sale Story
An active trader thought he netted $24K. The IRS said he owed $40K. The wash sale rule — and one box on his 1099-B — broke the math.
Tax Stories
Tax Stories
OBBBA Overtime Deduction: $7,200 Hiding on Her Pay Stub
A self-filed return showed $100 owed. We found a $7,200 OBBBA overtime premium hiding on her last pay stub. Here’s how.
Tax Basics
What Is an Amended Return (Form 1040-X)?
Form 1040-X lets you fix tax return errors and claim missed refunds. Learn the 3-year deadline, how to file, and key traps.
Tax Basics
What Is an ITIN? (Form W-7 and CAA Explained)
An ITIN lets non-U.S. persons file taxes without an SSN. Learn how Form W-7 works, what a CAA does, and when your ITIN expires.
Tax Stories
Dependent Forgot to Check the Box on Form 1040?
If your parent claims you as a dependent, missing this Form 1040 checkbox can reject your e-file. Here’s the fix.
Tax Basics
What Is Self-Employment Tax?
Surprised by your first 1099 tax bill? An EA explains why self-employed workers owe 15.3% — and how to deduct half.
Tax Basics
What Is Tax-Exempt Income?
Tax-exempt income is excluded from federal gross income. Learn what qualifies, how it differs from tax-deferred, and why it can still affect your MAGI.
Tax Basics
What Is the Saver’s Credit?
Learn how the Saver’s Credit works, who qualifies, current income limits, and why this retirement tax credit is worth claiming.
Tax Basics
What Is Earned Income?
Earned income is pay from work — wages, tips, and self-employment profit. Learn what counts and why it matters for the EIC and IRA.
Tax Basics
What Is a Backdoor Roth IRA?
Learn how a Backdoor Roth IRA works, how the Pro-Rata Rule affects your taxes, and why Form 8606 is essential — explained by an Enrolled Agent.