Uncategorized

Shaffer: Dividend "relief" may create tax headaches

SITKA, ALASKA Alaskans will start seeing permanent fund dividends deposited into the financial institutions of their choice tomorrow (Fri 9-12-08).
This is earlier than usual, and also more than usual: besides the actual dividend of $2,069 dollars, Alaskans will receive an additional one-time rebate of $1,200 dollars.
While lawmakers refer to the rebate as “energy relief,” for tax purposes, it’s considered the same as any other income. Come tax time next April, Alaskans – including children – will see significantly higher federal tax bills thanks to the combination of the dividend and the rebate.
KCAW’s Robert Woolsey recently talked with CPA Brad Shaffer about some of the tax pitfalls of this year’s dividend, and how to avoid them:
© Copyright 1970, Raven Radio Foundation Inc.

Comments

Please read our comment guidelines.

Recent News

Sixbey strums a homemade guitar

IMG_7192
Mark Sixbey is a Tsimshian woodcarver who grew up in Metlakatla and now lives and teaches in Sitka. He brought a homemade guitar to the KCAW studios today (4-29-16). more

Ferry fares rise for third time in a year

Passengers board the ferry Malaspina while vehicles wait to load at the Auke Bay terminal in Juneau. Travelers will no longer be able to take advantage of some discounts, due to budget cuts. (Photo by Ed Schoenfeld, CoastAlaska News)
It’s costing 10 percent more to take the ferry to and from the Lower-48. The higher fare is part of another round of tariff increases aimed at boosting income and equalizing rates across all routes. more