A tax and car insurance beginner's Q:?

Question

I'm an immigrant and going to have a job. I would like to know about tax and I have no idea what to do when I need to file my tax.
I'm a tax beginner and maybe somebody can tell me how?

I also will have a car. What kind of insurance you usually buy for your car and yourself as a driver?

Answer 1

If you are considered an employee, you'll fill out a form called a W-4 for your employer, and they'll take taxes out of each paycheck and send those to the government. At the end of the year, they'll send you a form called a W-2 that will show how much you made that year, and how much they kept out for taxes. You'll have to file something called a tax return, which is a form that calculates how much tax you owe for the year. If they took out too much, you'll get the extra back as a refund - if they didn't take out enough, you'll have to pay whatever you still owe.

There are a number of places to help you prepare your tax return. When the time comes, look for a VITA site in your area - they'll prepare your tax return at no charge. For more info on the program, go to irs.gov and put "VITA" in the search box.

As for insurance, stop by the office of someplace like Progressive or State Farm and they'll get it set up for you. You need liability insurance at a minimum - this covers damage you might accidentally do to someone else or their property. If your car has a loan on it, or is worth more than a minimum amount, you'll probably also get collision, which would pay to repair your car in the case of an accident. There are a number of other items that you might also want to consider - an insurance agent can explain it. Check a couple places - costs can vary a lot for the same coverage.

Answer 2

Go to irs.gov and request that a copy of Publication 17: Your Federal Income Tax be mailed to you. This is the best reference available for individual tax returns. Most issues you will encounter are addressed in this publication, and further resources (also available at irs.gov) are referenced if you need more information.

Once you get your job, your employer will give you tax forms and you will file. If you have income in 2007, your tax return will be due by April 15, 2008.

As far as car insurance, your state will require insurance when you get a driver's license or purchase a car. When you buy the car, the dealer can help you. Your state Department of Motor Vehicles will have information about getting a driver's license.

Answer 3

u can file taxes online.
u can buy comprehensive coverage or just liability. it will cost you around $1,000 USD depending on car