Sentences with phrase «uses federal taxable income»

Like many states, Rhode Island uses federal taxable income, as determined under the current IRC (but without special deductions allowed under federal law), as the starting point for determining taxable income for purposes of the business corporation tax.

Not exact matches

The numbers below illustrate possible tax savings for a joint return of $ 40,000 taxable income using itemized deductions and tax rates of 15 % for Federal and 7.4 % for State.

Your federal AGI can also have an impact on your state return, as many states use your federal AGI as a starting point for calculating your state taxable income and your eligibility to claim deductions.

If a state uses federal adjusted gross income, but then has its own provisions for coming up with taxable income from there, then the increase to the standard deduction and the elimination of personal exemptions at the federal level won't necessarily have any impact on the state's subsequent calculation of its own taxable income.

If you used the standard deduction, then, Yes, the state tax refund that you received in 2016 is not taxable income for Federal income tax purposes, and it is not taxable income for State purposes either.

Wages paid to employees using virtual currency are taxable to the employee, must be reported by an employer on a Form W - 2, and are subject to federal income tax withholding and payroll taxes.

tax will be required to include in gross income (in addition to taxable dividends actually received) his or her pro rata share of the foreign taxes paid by a Fund, and may be entitled either to deduct (as an itemized deduction) his or her pro rata share of foreign taxes in computing his or her taxable income or to use it as a foreign tax credit against his or her U.S. federal income tax liability, subject to certain limitations.

Unfortunately, taxable Social Security income can not be claimed on a Form 1040EZ, so you will not qualify to use the Free Federal Edition.

When money is withdrawn from an account and not used to pay for qualified expenses of the designated beneficiary, the recipient of the money must add all amounts withdrawn to Idaho taxable income (if not included in federal adjusted gross income) in the year of the withdrawal.