Did You Know?

When the first 1% income tax rate was being debated in 1913, a U.S. Senator opposed to it stated, "if they get away with 1% today, some day it may be raised to as high as 5%!"

Frequently Asked Questions

What are the standard mileage rates?

Purpose 2011 Rates 2012 Rates

Business

January - June 51¢

June - December 55.5¢

55.5¢

Medical/Moving

January - June 19¢

June - December 23.5¢

23.5¢

Charitable

14¢ 14¢

  

Where's my refund?

 See: Internal Revenue Service

 See: Iowa Department of Revnue

 

Do I have to file a tax return for 2011?

The following are filing requirements for 2011.

Filing Status Under 65 65 or Over

Single

$9,500 $10,950

Married Filing Jointly

$18,900 $20,150

Head of Household

$12,200 $13,650

Married Filing Separately

$3,700  

Children/Other Dependents
must file if any of the following apply:

  • Unearned income over $950
  • Earned income over $5,800
  • Gross income more than the greater of:

1) $950 or  2) earned income plus $300

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Do I have an employee or an independent contractor?

 The courts have considered many facts in deciding whether a worker is an independent contractor or an employee. These relevant facts fall into three main categories: behavioral control; financial control; and relationship of the parties.

  • Behavioral Control - These facts show whether there is a right to direct or control how the worker does the work.
  • Financial Control - These facts show whether there is a right to direct or control the business part of the work. If you can realize a profit or incur a loss, this suggests that you are in business for yourself and that you may be an independent contractor.
  • Relationship of the Parties - These are facts that illustrate how the business and worker perceive their relationship. A written contract may state the business's intend and relationship.

 

How much can I gift to another person and can I deduct my gift?

For 2011 and 2012, an individual may make a gift to another individual of $13,000 or less, in each calendar year, and not be required to report the gift to the Internal Revenue Service. A gift is not deductible by the donor and not taxable income to the recipient. There are no limits on the amounts a person may gift to his or her spouse. Gifts include transfers of cash or property on behalf of another, interest-free loans or below-market sales.