Contributions made to a Roth IRA are not deductible when made, but the earnings accumulate tax-free, and distributions, both of the principal and interest, are also tax-free so long as they are qualified distributions. The overall limit for regular deductible and Roth IRA contributions in 2007 is $4,000 for single taxpayers and $8,000 for married taxpayers, thus the amount which can be contributed to a Roth IRA is the amount of the limit remaining after subtracting any contributions made to a regular IRA. The contributable amount is phased out for single taxpayers for modified adjusted gross income between $95,000 and $110,000 and for joint filers for incomes from $150,000 to $160,000.  If you are age 50 or older, you may make additional "catch-up" contributions to your IRA.  For 2007 the catch-up contribution is $1,000.

Form 4868 extends the due date for filing a Form 1040 by six months. If you are a calendar year-end taxpayer, the extension will make the due date October 15. The automatic six-month extension is not an extension for the payment of any taxes owed.

City tax withholding is based on the city in which you work. School district tax withholding is based on the school district in which you live.

Your tax return will be due on the following business day. For example, if the due date to your tax return is on Saturday, your return will be due on the following Monday.

A taxpayer is required to make estimated quarterly tax payments if both of the following conditions are met:

1. The amount of taxes owed (excess of tax liability over withholding) is expected to be $1,000 or more and
2. The taxpayer's withholding is the lesser of:
   a) 90% of current year's tax, or
   b) 110% of last year's tax (if you are not a farmer and the adjusted gross income shown on the return is more than $150,000 or, if married filing separately for the current year, more than $75,000).

If you did not file a prior year tax return or that return did not cover all twelve months, item #2 above does not apply.

Taxpayers, except trusts, estates and certain noncorporate lessors, can elect to expense up to a certain amount per year of the cost of certain eligible personal property used in the active conduct of business.

The maximum amount that may be expensed is as follows:

$125,000 for tax year 2007 and 
$108,000 for tax year 2006.

Your tax return is due on April 15th if the following three conditions are met:

1. Your tax liability is less than $1,000
2. You have no tax liability
3. You have paid adequate quarterly estimated tax payments throughout the year

Your tax return is due on March 1st if the following two conditions are met:

1. You have a tax liability greater than $1,000
2. You have not paid quarterly estimated tax payments

$6.85 per hour

$ .485 per mile

Vendor ID numbers can be obtained at the respective county court house in which your business resides.

The due date of a 941 deposit depends on whether you are a monthly or a weekly filer. Monthly filer's 941 deposit is due by the 15th of the following month. Weekly filers who pay on Wednesday, Thursday or Friday, must have their 941 deposit in by the following Wednesday. Weekly filers who pay on Saturday, Sunday, Monday or Tuesday, must have their 941 deposit in by the following Friday.

1. Generally, a taxpayer must file a return if his/her income is equal to or greater than the sum of:
   
   1. The personal exemption plus
   2. The regular standard deduction
      (except for married filing separately) plus
   3. The additional standard deduction amount for taxpayers age 65 or over (except for married filing separately)
      
2. Individuals whose net earnings from self-employment are $400 or more must also file.
   
3. Individuals who can be claimed as dependents on another taxpayer's return, have unearned income, and gross income of $800 or more must also file.
   
4. Individuals who receive advance payments of earned income credit must also file.

Gross Income
Less: Deductions for adjusted gross income
Equals: Adjusted Gross Income (AGI)
Less: Standard deduction or itemized deductions, whichever is higher
Less: Personal and dependency exemptions
($3,400 for 2007, indexed for inflation annually)
Equals: Taxable Income

1099's must be filed for the following payments:

• Dividends of $10 or more (Form 1099-DIV)
• Interest of $10 or more (Form 1099-INT)
• Rents, royalties and non-employee compensation of $600 or more, paid to non-corporate employees. Non-employee compensation is payments to individuals for machine hire, subcontract work and other independent contractors. (Form 1099-MISC)

$97,500

It is a benefit plan that allows you to pay for certain medical and dependent care expenses free of federal, FICA, state and school district taxes. Eligible medical expenses are those which are not reimbursable under any health insurance plan, for example: your deductibles; co-pays; co-insurance; vision; dental and prescriptions, etc.