Advertisement
YOU ARE HERE: LAT HomeCollectionsTaxable Income
IN THE NEWS

Taxable Income

FEATURED ARTICLES
BUSINESS
May 16, 1999
Q: I work for a large law firm that reimburses staff members $15 for meals if they work 2 1/2 hours over their normal time period. I notice that when I put in for reimbursement, taxes are taken out. Isn't this double-taxed money? --D.V., Long Beach A: No. Reimbursement for meals is considered to be supplemental wages, or a taxable fringe benefit. The amount of reimbursement is included in gross income under Internal Revenue Code Section 119. Taxes are withheld on the amount of the reimbursement.
ARTICLES BY DATE
BUSINESS
December 9, 2012 | Liz Weston, Money Talk
Dear Liz: I'm about to marry an active-duty military man. We're in the process of marrying our finances, and I have several questions. First, what is a good emergency fund for us? We run our household on his salary because I'm recently unemployed. I've always had a six-month emergency fund for myself, but because he'll theoretically always be employed, should we have less savings in emergency funds and more in retirement and investments? Second, along with my unemployment, I'm bringing about $15,000 in savings and $9,000 in student loan debt (at 4.5%)
Advertisement
NATIONAL
April 16, 2005 | James Gerstenzang, Times Staff Writer
President Bush and his wife reported $673,000 in taxable income in 2004, a slight drop from the previous year, and Vice President Dick Cheney and his wife reported a 63% increase in their taxable income, to $1.3 million, according to their tax returns, which were released Friday. The Bushes paid $207,000 in federal income tax, approximately $20,000 less than last year. Their adjusted gross income last year was $784,219. The Cheneys paid $393,518 in federal income tax, up 55% from the prior year.
BUSINESS
January 24, 2012 | David Lazarus
Frequent-flier miles clearly have value — why else would people want them? But do they also represent taxable income? Citibank seems to think so. It's sending tax forms to people who received thousands of miles as a reward for opening a checking or savings account. Those forms value each mile at about 2.5 cents and list the total dollar amount as miscellaneous income. This is news to tax pros. "I've been practicing for 25 years and I've never had an instance where miles have been treated as taxable," said Gregg Wind, a West Los Angeles certified public accountant.
NEWS
March 15, 1987 | MARTHA GROVES, Times Staff Writer
Like thousands of other graduate students, Sacha Nelson has racked up a hefty debt (about $20,000) and squeaks by on a modest annual stipend ($8,000). Now, for the first time, he soon will face the additional hardship of taxation on his meager academic income. "I'm figuring around $1,000 a year in taxes," said Nelson, 27, a UC San Diego biology student who does neurophysiology research at the Salk Institute. "At the worst, I'm hoping I'll have to borrow an additional thousand a year."
NEWS
September 24, 2000 | By LIZ PULLIAM WESTON, Times Staff Writer
Attorney Jennifer C. Pizer isn't quite sure how much it cost when she added her life partner to her health insurance plan. But she knows her tax bill shot up by several hundred dollars--a typical and often unforeseen consequence of using a company's domestic partner benefits. "I've repressed [the tax cost], it just made me so angry," said Pizer, managing attorney of the Lambda Legal Defense and Education Fund's West Coast office in Los Angeles.
OPINION
May 18, 1986
The Senate Finance Committee's tax bill provides for 15% and 27% tax brackets. The 27% bracket would apply to a joint return if a couple' taxable income exceeds $29,300. This plan and the tax plan approved by the House of Representatives has one glaring inequity that I have not heard discussed. Taxpayers with a taxable income at the borderline between the two brackets (three brackets with the measure passed by the House) will need an extraordinary raise in salary (or other income)
BUSINESS
February 21, 1985 | Debra Whitefield
QUESTION: I have less than two months to go to tax time, and my wife and I still haven't decided where to put our IRA money this year. The last two years, we have taken the easy way out and put it in a certificate of deposit at our bank. But this year, a lot of my friends are buying zero-coupon bonds with their IRA money, and for that reason alone my wife and I are thinking of doing the same. Can you tell me something about them and why they are considered good IRA investments?--F.S.
BUSINESS
June 4, 1999 | From Associated Press
Millions of U.S. workers will get a modest income tax cut this year because of a change in the way the federal government figures the value of group life insurance provided by their employers. Final federal regulations released Thursday, and that take effect July 1, are based on updated mortality estimates showing that people are living longer and that women now make up roughly half the U.S. work force.
CALIFORNIA | LOCAL
August 19, 1988
Wolf seems to feel that a business deduction is money lost to the government. In fact, in almost all cases one company's business deduction is someone else's taxable income. When Iacocca got his $29 million one year, a tax deduction for Chrysler, it represented a major tax bill to Iacocca. Tax deductions for business jets crisscrossing the country represent the timely transportation of captains of industry to the places they need to be so they can be more productive for their companies.
BUSINESS
November 4, 2011 | By Tiffany Hsu, Los Angeles Times
Many of the nation's most profitable companies are paying far less than the government's 35% corporate income tax rate, with dozens paying no taxes at all, according to a controversial new report. Left-leaning advocacy and research groups Citizens for Tax Justice and the Institute on Taxation and Economic Policy examined 280 companies and concluded that they paid an average rate of 18.5% from 2008 through 2010 — about half the official rate. Several firms mentioned in the report lashed out at the findings.
BUSINESS
January 23, 2011 | Kathy M. Kristof, Personal Finance
Saving for retirement may be the last thing on your mind when you get your first job out of college or when you are otherwise struggling to make ends meet. But the federal government offers a special income tax break that could dramatically reduce your after-tax cost. One problem: This break is so buried in the complex tax code that many people miss it. "Hardly any of the people who qualify for the credit are aware of it," said Catherine Collinson, president of the Transamerica Center for Retirement Research.
BUSINESS
March 14, 2010 | By Kenneth R. Harney
With the Obama administration and private lenders actively considering mortgage-principal-reduction programs to help financially distressed homeowners, the Internal Revenue Service has issued an advisory to taxpayers who receive -- or seek to receive -- such assistance if it's offered. The IRS gets involved in mortgage principal write-downs because the federal tax code generally treats any forgiveness of debt by a creditor in excess of $600 as ordinary taxable income to the recipient.
OPINION
April 15, 2009
It may not have been foremost in the minds of Californians as they completed their tax forms over the last several weeks, but the state has a progressive income tax system, meaning that the marginal tax rate increases as taxable income increases. Everyone is assessed 1% on the first $7,168 of taxable income, then progressively higher rates through six levels of income, up to 9.3% on taxable income over $47,056.
REAL ESTATE
October 21, 2007 | From the Chicago Tribune
The Internal Revenue Service has created a section on its website to explain the tax consequences for people who have lost their homes to foreclosure. Some homeowners work out arrangements with their lenders to forgive some of the debt. But what the lender forgiveth, the IRS taketh away. The site offers this simplified example: Say you borrowed $10,000 and defaulted on the loan after paying back $2,000.
ENTERTAINMENT
August 18, 2006 | John Horn, Times Staff Writer
The rich may not necessarily be getting richer -- at least when it comes to Hollywood swag. The Internal Revenue Service launched a campaign Thursday aimed at clarifying the tax consequences of the gift-jammed goody bags and luxury giveaway suites that surround awards ceremonies and film festivals. The bad news for every A-lister and low-level minion alike who ever pockets a freebie: It's taxable income.
BUSINESS
November 22, 1994
Here are some of the key figures for people wishing to estimate how much tax they will owe. Note that taxable income is income after exemptions and deductions. * $38,000: For married people filing jointly, this is the point where the tax rate takes its biggest marginal jump, from 15% to 28%. For singles, this occurs at $22,700; for unmarried or legally separated people who are heads of households, $30,500; for married people filing separately, $19,000. Under those levels, you pay 15%.
NATIONAL
April 15, 2003 | From Times Wire Reports
Democratic presidential hopeful Howard Dean and his wife, Judy, reported $145,634 in adjusted gross income for 2002. The couple said they paid $29,242 in federal income taxes on a taxable income of $110,141. The Deans' income came from his salary as governor of Vermont, her income as a physician and investments. Dean stepped down as governor in January. Dean is not required to release his income taxes as part of his presidential campaign, but he said he thought it important to do so.
NATIONAL
April 16, 2005 | James Gerstenzang, Times Staff Writer
President Bush and his wife reported $673,000 in taxable income in 2004, a slight drop from the previous year, and Vice President Dick Cheney and his wife reported a 63% increase in their taxable income, to $1.3 million, according to their tax returns, which were released Friday. The Bushes paid $207,000 in federal income tax, approximately $20,000 less than last year. Their adjusted gross income last year was $784,219. The Cheneys paid $393,518 in federal income tax, up 55% from the prior year.
CALIFORNIA | LOCAL
August 15, 2003 | Scott Glover, Times Staff Writer
Republican Congressman Darrell Issa, the main force behind the campaign to recall the governor, failed to pay state corporation taxes for two years on the company through which he has funneled more than a million and half dollars into the recall effort, according to records and interviews. As a result, the company -- Greene Properties Inc.
Los Angeles Times Articles
|