When is Income NOT Taxable?
As you gather your documents to file your tax return, are you aware that not all income is taxable? It’s true! Certain revenue sources are not considered taxable income. Though you may already know certain income is not generally taxable on your federal tax return, here’s a list of some resources that you may not be aware of:
* Borrowed money, such as from banks or personal loans.
* Child support payments.
* Disability insurance benefits from a policy purchased with after-tax dollars.
* Interest received on municipal bonds.
* Most life insurance proceeds.
* Money you receive for sustaining an injury.
* Money received as a gift or inheritance from family or friends.
* Money paid on your behalf directly to a school or medical facility.
* Scholarships for tuition and books.
Do you have income that you’re not sure whether or not it’s taxable? Contact our office at (866) 497-9761 to schedule an appointment with our Virtual CFO.