Accounting & Tax Glossary for Erie Homeowners

Tax forms reporting non-employment income: freelance work (1099-NEC), interest (1099-INT), investment income (1099-DIV), and other sources.

The systematic recording of financial transactions. Accurate bookkeeping is the foundation of tax compliance and financial management for Erie businesses.

An accountant who has passed the CPA exam and meets state licensing requirements. CPAs can represent clients before the IRS and perform audits.

A tax deduction for the gradual loss of value of business assets and investment properties over their useful life. Affects rental property owners in Erie.

A federally licensed tax practitioner authorized to represent taxpayers before the IRS. EAs specialize in tax preparation and IRS issues.

Quarterly tax payments required for self-employed individuals and those with significant non-withheld income. Due April 15, June 15, September 15, and January 15.

Individual deductions listed on Schedule A instead of taking the standard deduction. Common items include mortgage interest, property taxes, and charitable donations.

A business structure that protects personal assets from business liabilities. LLCs in Pennsylvania must register with the state and file annual reports.

A tax levied by municipalities and school districts in Pennsylvania. Erie City residents pay 1.68% combined. Rates vary by municipality across Erie County.

Pennsylvania's special poverty provisions form used to claim a tax forgiveness credit. Low-income Erie residents may qualify for partial or full PA tax forgiveness.

A tax election allowing business income to pass through to owners' personal returns, potentially reducing self-employment taxes. Popular with Erie small businesses.

The annual tax form employers provide showing total wages earned and taxes withheld. Erie employers must issue W-2s by January 31 for the prior tax year.