If you run a business, you need to know about the following forms.
We all understand that when we borrow money, we're legally obligated to repay it. What happens when you're forgiven in part and don't have to pay back the full amount? After many huzzahs, you discover that it's not entirely forgiven. The amount of the canceled debt is taxable, and you must report it on your tax return for that year.
You may have a good reason to change your payday, but before you make your move, be sure to take into account various rules and implications.
Ever wonder how a financial planner is different from a stockbroker? Stockbrokers are also seen as market mavens who trade stocks. Planners aren't accountants, either (although some accountants do work as financial planners) — they aren't called upon just to lower your tax bill and they aren't insurance agents who try to sell you complicated life insurance. They're not around only to urge you to buy specific mutual funds either. A financial planner should be familiar with a variety of techniques and tools, including trusts, if they are right for you.
Sometimes, you can become so busy running a business that you are overly focused on the "here and now." But for long-term success, you want to keep an eye on the future as well. Here are some of the tasks you need to focus on:
You create a trust to protect, preserve and pass on your wealth to your heirs. But how do you keep your family money safe, not only from creditors, but also from the heirs themselves? Create a spendthrift trust. A trust is used to disburse in a controlled way money and assets you've accumulated over a lifetime. A spendthrift trust forbids beneficiaries from spending any money until they receive distributions.
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