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Reasons Why Freelance Professionals Should Hire Tax experts

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People try to save on expenses by managing most of their financial obligations independently. It may seem like a great option at that time, but it is the biggest mistake one can make, especially if you are a freelancer or an artist. This is because you may get the work done, but you may be unable to ensure the quality work that the professional would do, for instance, accounting. Accounting done by a professional is always considered a good investment. Accountant for artists or freelancers is a good option because it saves you money and the stress and effort that comes while filing your taxes. There are many scenarios in daily life where accounting, bookkeeping, and other professional advice can come in handy. For example, tax write-offs if you own your own business, knowing if there could be complications while applying for financial aid for your child’s education, etc. Here are a few reasons you should hire a tax expert, especially if you’re a freelancer/artist:

Managing Your Finances

The most obvious service provided by tax experts is managing your finances. It may seem like just calculations and numbers, but accounting is also the most critical service you should opt for. Even a single minor mistake could lead to a lot of loss for the business and you. So relying on a professional for this purpose is very crucial.

Business Growth

An account professional can help you with the most important financial decisions you need to make for your business. They help by analyzing your financial reports and suggesting which decision will yield better results in terms of finance, making it a wise decision. This way, you get to save time, money, and effort and see your business reach new heights of success.

Keeping Irs (Internal Revenue Service) Away

No one wants the IRS to contact them, but errors and mistakes are bound to happen when you try to file your taxes. It could be something as minor as substantiation of expenses, but when not dealt with correctly, it could lead to something big. Hence hiring a professional that creates a smooth and hassle-free process for you is always a better option.

Work-Life Balance

It isn’t easy to take time as a freelancer or an artist as you’re occupied with various tasks and already have a lot on your plate. Even if you manage to take out some extra time for your finances, it will only further impact your personal and professional life, making it burdensome. This imbalance can be tackled if you hire a professional to manage your finances which in turn helps you get rid of the stress and anxiety.

Final Thoughts

An accountant for artists, freelancers, or entrepreneurs can help with various services, from bookkeeping to accounting to tax planning and preparation. A good accountant will understand the concerns and needs of your business and help you with the financial decisions of the same. Hiring a professional is always recommended as accounting is not a child’s play, and minor mistakes in that process will only lead to losses. 

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Finance

How May a Home Office Be Claimed as a Tax Deduction?

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Home-based jobs now have a significant amount of profit-makers’ attention. As a result, advancement in home-based employment has greatly expanded and more qualified professionals are involved. Each professional who works from home does so as a sole proprietor or with a partner, using their initiative and ingenuity to benefit others. Based on the type of work they do and the income they make, these home-based company owners are eligible for a variety of deductions. The Internal Revenue Service is the one who drafts the rules for the self-employment deductions for home workers. Tax deductions for home office costs are often available to self-employed people. However, because they are employed, homemakers are not able to take advantage of further deductions. More helpful information on tax deductions and how to quickly claim them will be provided if you fall under the self-employed category and work as a freelancer.

Who is eligible to claim greater deductions and what is the home office deduction?

When company owners have a separate element of their operation that involves their residence, a home office deduction is typically the most advantageous choice. Your living place, whether it be a house, an apartment, a condo, or any piece of real estate, can serve as your home office. Any of those business floor plans, including the detached garage, studio, barn, or greenhouse, can be used to generate regular income from within your living area. Operators who conduct their businesses out of their own residence or a leased property are allowed to claim the home office deductions.

For the home office deduction to be allowed, you must be self-employed or partnered with a licensed rideshare driver. When you come inside the employer’s employee category, you can no longer anticipate taking a deduction. According to the Tax Cuts and Jobs Act of 2017, individuals who get a W-2 or a regular payment from a single employer or entrepreneur are likewise subject to the restriction on home office deductions. Nevertheless, if you work a gig while you are employed by the company, you are entitled to a specific amount of deduction.

How can I qualify for the home office deduction on my tax return?

You must comply with the rules set out by the IRS federal, which has set the parameters for all of your tax deductions for home offices. In accordance with IRS standard rules, you must fulfill two fundamental conditions before you may claim your deduction. Additionally, your primary location for business as well as regular and active use are requirements.

To consistently run your firm, you must unquestionably dedicate a piece of your living space to it. You do not need to follow a specific procedure to demonstrate the viability of your home office, according to the IRS. To prove your eligibility for the home office deduction, you must keep verifiable records. Your canceled checks, receipts, and other legal papers that attest to the functioning of your home office may be used as part of the document verification process. Holding receipts and bills for expenses like mortgage interest, cable, utilities, and other significant costs for your home office will help you claim a larger tax deduction on your home office.

It is necessary that your house serve as the primary location of business, along with the following requirements. It does not, however, mean that you must conduct all of your business operations there. Even better, you can continue to do business from your main home office and still deduct expenses. Do not do administrative duties outside of your home office, please. You cannot make a tax deduction before that point. You must take into account the following information to determine the requirement:

  • Special guidelines for stockpiling goods and product samples are part of the requirements for being eligible to deduct costs.
  • List the types of costs you are allowed to write off.
  • To calculate the deductible, depreciate your house.
  • Depending on the type of your worker, a mandatory need. The unique need for daycare centers, for instance.
  • Selling a property used partially for business and the resulting tax consequences
  • Your claim list and records must be all legitimate documents.
  • Expenses for your home-based business that are deductible and that are listed on Form 8829. To claim your deduction, keep in mind any reductions based on your method.

Deductions for home offices

Following the calculation and structuring of your deduction, you may safely begin filing tax returns to the IRS. You can start claiming the home office deduction right away after completing your tax file. The IRS offers two distinct claiming procedure options to make your process more straightforward and adaptable. The claim procedure can be accessed using either the normal way or the streamlined alternative.

Simple solution

The beginning of the next year is when tax filings are received for taxable years that begin on or after January. Indeed, the commutation method you propose is the best. There are several simpler choices available to you. A unique computation, allocation, and substantiation requirement in the IRS’s regular tax return and filing method adds a layer of complexity for certain SMSE owners who start their business empires at home. With the use of an online tax calculator and detector, the IRS has made it simple for those hard-working business owners to secure the best advantage when calculating real costs.

You may compute your home office deduction quickly using this option that is streamlined. The deduction for a home office is simple and easy to calculate. You must double the overall square footage of your workplace by $5 in order to calculate your standard deduction. A maximum profit of $1,500 per 300 square feet is possible using this formula. And with just layout permission, you may use this deduction to lower your taxable income while filing your taxes.

Common practice

You must be ready with records to establish the real cost of your home office if you choose to use a conventional approach for your tax payments for the preceding year. A few costs that are not necessary for your streamlined choice must have documentation collected. Among the items covered by this paperwork are depreciation, utilities, insurance, and mortgage interest. The percentage of deduction varies under this standard deduction technique depending on the amount of space used for business purposes and the tasks carried out at your home office location.

The square footage of your busy home office must be divided by the overall area of your home in order to calculate the result using this approach. Your home office tax deduction percentage will be determined by this computation. Once the percentage has been reached, multiply it by the amount of all home office expenses to determine your deduction for the space.

Other deductions

You may be able to write off other deductions, depending on your circumstances. For example, the food and entertainment deduction, the self-employed health insurance deduction, the business travel tax deduction or the Goodwill donation deduction.

Conclusion

Depending on how you report it on your tax return, you may decide whether to use a straightforward or conventional way to deduct your home office tax. It is strongly advised that you choose an operating strategy depending on the type of your company and the tax deductions it allows you to claim, like using a 1099 tax calculator through FlyFin.

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Finance

India’s Top 5 Car Insurance Companies

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As an owner of a car, it’s your responsibility to protect your vehicle, yourself and others – but the reality is that accidents do happen. A car insurance will financially safeguard you in case of an accident, theft or a natural disaster. To provide extensive coverage for your vehicle, you can buy a comprehensive car insurance policy which will also cover your mandatory third-party insurance.

In order to drive your car legally in India, third-party car insurance is mandatory. As there are several car insurance companies available in the market, it becomes difficult to narrow down to the best choice. You must have a good knowledge of the policies in order to select the best option for yourself. You can select one by comparing the rates and benefits offered by various car insurance companies. 

Let’s have a look at India’s top 5 car insurance companies whom you can approach for a car insurance policy.

1. Bajaj Allianz Car Insurance

Bajaj Allianz car insurance is one of the top car insurance companies. The insurance policies offered by Bajaj Allianz will allow you to protect yourself from the growing expenditures that are expected to be incurred while driving your car over time. It enables you to enjoy lengthy, stress-free journeys knowing that any unexpected event and its associated expenditures would be carefully handled. Bajaj Allianz has a claim ratio of 68.06% and the premium is reasonably priced.

Here are some of the features of this car insurance policy.

  • 24*7 road assistance
  • Cashless claim facility
  • Instant online policy renewal
  • Hassle-free NCB transfer
  • Convenient application process
  • 4500+ network garages
  • Various add-ons option

2. HDFC ERGO Car Insurance

HDFC ERGO is one of the most trusted car insurance companies and has a car insurance claim settlement percentage of 99.5% for the fiscal year 2021–2022, making it a suitable suitor in the automobile insurance industry.

Here are some of the key characteristics of HDFC ERGO car insurance:

  • Multiple policy options are available
  • Easy and rapid application process
  • Emergency assistance
  • Affordable premiums
  • Overnight repair service
  • Cashless claims
  • 7900+ network garages

3. Acko Car Insurance

Acko auto insurance provides full financial protection for your vehicle in the event of an unexpected occurrence such as theft, accident, or natural disaster. It also offers a number of add-on covers that may be purchased in addition to your ACKO vehicle insurance policy to extend the reach of protection. It is a top-tier auto insurance provider in India with a claim ratio of 82.35%.

Below are the features of the Acko car insurance policy:

  • Inexpensive premiums
  • Zero paperwork
  • Hassle-free claims
  • Rapid settlement
  • 24*7 emergency assistance
  • Easy to obtain
  • 2000+ network garages
  • Doorstep facility
  • Flexibility to choose add-ons

4. Reliance Car Insurance Company

Reliance car insurance, an ISO 9001:2015 certified auto insurance company, is another well-known and reliable insurance provider whom you can approach for safeguarding your vehicle. The claim settlement ratio is around 86%.

Here are Some Top Features of Reliance Car Insurance.

  • 4450 network garages
  • Certified car insurance provider
  • Roadside assistance
  • Easy application process

5. Bharti AXA Car Insurance Company Limited

Bharti AXA is another company that Indian people choose to get car insurance. It has a claim resolution ratio of approximately 77%. At Bharti AXA, you have the option of purchasing either a third-party liability vehicle insurance plan or a comprehensive auto insurance policy.

It is a well-known auto insurance in India due to the characteristics listed below:

  • 4500+ network garages
  • 24*7 claim assistance
  • Multiple add-ons
  • Cashless claims
  • Instant availability

Importance of Car Insurance

Some people do think about whether or not they should opt for car insurance. Is it necessary? So to help you out in clearing your doubts, here are a few points that will assist you in knowing the importance of getting your car insured from any of the reliable and efficient car insurance companies.

  1. Adherence to Indian Legal Requirements

As per the Motor Vehicle Act, 1988, all automobile owners in India are required to carry at least a third-party car insurance coverage. Thus, in order to save yourself from legal difficulties, you are required to have a car insurance policy.

  1. Coverage Against Damage to Your Vehicle

A comprehensive insurance provides financial coverage to protect your vehicle against damage caused by a variety of factors, including natural catastrophes such as floods and earthquakes, and man-made calamities such as riots, strikes, fires, accidents, and so on.

  1. Third-Party Liability Protection

By having car insurance, you may protect yourself from the monetary and legal obligations that could arise from an accident involving your vehicle.

  1. Coverage for Personal Accidents

A personal accident cover for the owner-driver is included in comprehensive insurance policy, giving you some financial protection in the case of accidents and associated injuries.

Concluding Comments

While third-party insurance of your car is mandatory and important, comprehensive insurance policies will offer you greater financial security. Before starting your search for a vehicle insurer, you must be certain of your requirements for auto insurance. With the help of the above-mentioned details, now you are aware of the top 5 car insurance companies in India.  To choose the best one, you may evaluate their features and prices.

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Finance

Bitstamp Gets a Crypto License from the Bank of Spain

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Bitstamp is one of the best places to trade cryptocurrencies in terms of how much it costs. It has a simple cost structure: the amount you pay in trading fees is based on how much money you trade in a given month. Crypto investors are eagerly waiting for the short Altcoins season to arrive you can also invest in bitqt-app.com.

Bitstamp’s highest trading fee for customers who trade less than $10,000 in 30 days is only 0.50%. When users send and receive more money each month, their fees go down a lot. That is about the same as what other well-known exchanges charge or even better.

Bitstamp allows you trade more than 60 different cryptocurrencies. Other exchanges offer more, but for most investors, Bitstamp’s list should be enough. On this exchange, you can invest in many different projects, including Bitcoin (BTC) and other market leaders. You can also search for the best places to buy Bitcoin (BTC) and other top cryptocurrencies. You can get rewards when you stake cryptocurrency.

The Bitstamp Earn program lets people bet on their coins on this cryptocurrency exchange. You can get rewards if you stake the cryptocurrency you have in your Bitstamp account. Bitstamp Earn started out with only two cryptocurrencies: Ethereum (ETH) and Algorand (ALGO). All of these cryptocurrencies have reward rates that are competitive with this one.

Bitstamp has a good selection of cryptocurrencies but needs some important ones, like Solana (SOL) and Polkadot (DOT). Dogecoin (DOGE) was also turned down by the exchange. In 2021, Bitstamp CEO Julian Sawyer said that DOGE was a fake currency.

At least, it would make sense if that was how Bitstamp always did things. But the exchange also offered Shiba Inu (SHIB), a joke currency based on Dogecoin. This contradicts what was just said. This is a strange decision, and even though Dogecoin isn’t recommended as a cryptocurrency investment, many people want to buy it.

Bitstamp, a place where you can buy and sell cryptocurrencies, said it now has a license to sell them in Spain. Since it started in 2011, most of the exchange’s focus has been on the market in the European Union. This permit comes from a European country.

Recent events in Spain show that the government doesn’t care much about crypto laws. This makes sense since crypto is becoming famous all over the country quickly. It is currently in fourth place because it has more cryptocurrency ATMs than El Salvador, which only has 212.

Telefonica is a company that provides phone service all over the world. Its main office is in Madrid. Tu, the company’s online marketplace for technology, started accepting Bitcoin and a wide range of other cryptocurrencies as payment on September 1. The company decided to let people buy their tech products with cryptocurrency, so they added a payment option from the Spanish cryptocurrency exchange Bit2Me.

Over the past few years, Bitstamp has done a better and better job of following the rules. In April, it asked people who kept cryptocurrencies on the site to change where they came from so that it could follow the rules. The exchange gave a list of official documents showing where the deposited fiat money came from.

Bitstamp has been a place to buy and sell cryptocurrencies for a long time. Bitstamp said that Jean-Baptiste (JB) Graftieaux would take over as global CEO after Julian Sawyer quit.

In October 2020, Sawyer became the CEO of the cryptocurrency exchange for the first time. Bitstamp said that Sawyer “has chosen to look for other opportunities.” On May 7, Graftieaux took over the business. Before that, from May 2021 until May of this year, she was the CEO of Bitstamp Europe.

Graftieaux has been in the “crypto, payments, and banking industries” for the past 20 years, according to the exchange. He worked for PayPal for five years before becoming the company’s chief compliance officer in November 2014.

Since the beginning, JB has worked for Bitstamp. The company said, “We’re happy to have a CEO with such a good track record, and we’re excited to see what he’ll bring to the company in his new role.”

When Sawyer leaves, Graftieaux will become the third worldwide CEO of the company. Sawyer replaced Nejc Kodri as CEO of Bitstamp. Kodri helped start the exchange, but he is now leaving. Still determining if Sawyer will still work in the field of digital assets or not.

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