| Alimony and child support
When filing your federal income tax return, you can often deduct expenses related to your spouse and children. However, payments you make toward alimony and child support are not always deductible.
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| Employment taxes
Employment taxes are imposed for many reasons and may be paid by the employer, by the employee, or by both parties. Most employers are responsible for withholding, depositing, reporting, and paying taxes on income, Social Security, and Medicare, as well as the Federal Unemployment Tax.
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| Estate taxes
An 'estate' refers to all the property a person possesses. Such property includes actual possessions, such as houses and other buildings; financial obligations; and the right to redirect the ownership of property in the event of the proprietor's death.
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| Gift taxes
Any property that's transferred by gift from one person to another is subject to the gift tax. Making a gift to someone includes giving property or money to someone without expecting to receive anything in return.
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| IRAs
IRAs (I-R-As), which stand for Individual Retirement Accounts, allow you as a taxpayer to set aside money for retirement with several tax advantages. For example, you usually aren't responsible for paying taxes on the money you earn on an IRA until it's distributed.
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| Paying taxes for household employees
If you employ a household worker either full- or part-time in your home, you may be obligated to pay taxes on your employee's wages. The Internal Revenue Service, or IRS (I-R-S), considers a household employee to be someone you pay for household work such as nannies, babysitters, health-care workers, house cleaners, lawn workers, and anyone else who performs work around your house.
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| Property taxes
Property taxes may be assessed at either the state or local level and are usually used to support services such as public schools and libraries, fire and police services, roads, health programs, and parks.
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| Self-employment taxes
If you work for yourself, you're still obligated to pay Social Security and Medicare taxes, which are usually taken out of your paycheck automatically by an employer.
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| Which types of organizations are exempt?
Not all organizations are subject to the same tax liabilities. In fact, certain groups are granted tax-exempt status, meaning they don't have to pay certain taxes.
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