Monday, July 12, 2010

Questions for the Tax Lady: July 12th, 2010

Check out the following new Questions for the Tax Lady answers and feel free to ask me questions through one of the links below. You can send me an email, direct message or @ reply, and I will do my best to get an answer for you!

Question #1: Is it possible to have federal taxes withheld from my unemployment check?

Yes. To have taxes withheld from your unemployment compensation you will need to file IRS Form W-4V, Voluntary Withholding Request.

Question #2: What are the differences between traditional and Roth IRAs?

The largest difference between traditional and Roth IRAs are their tax implications. When you have a Roth IRA contributions are made from income that has already been taxed. These contributions are not tax deductible, but future withdrawals are not subject to an income tax. On the other hand, traditional IRA contributions are tax deductible, but you will have to pay income taxes on future withdrawals.

Blog Archive