Blog

Making the Most of Your Income Tax Refund

Making the Most of Your Income Tax Refund

The IRS issued more than 128 million income tax refunds for the 2020 filing season, putting $355.3 billion into the hands of U.S. consumers.1 For most recipients, such a sudden influx of cash prompts an important question: What’s the best way to use the money if you get a refund? Last year, 27% of consumers said they planned to spend their refund on everyday expenses, whereas equal numbers (8%) planned to either “splurge” or take a vacation.2 But what about your other options? Debt Decisions Though spending your tax refund is tempting, most people surveyed said they planned to save their tax

Read More »
Azzad Halal Investment - How can your gift benefit you and the charity?

How can your gift benefit you and the charity?

Giving basics You’re free to give almost any type of property to whatever organization you choose. But in order to obtain the tax benefits associated with charitable giving, contributions need to be made to qualifying tax-exempt organizations that have been organized in the United States and meet certain criteria. In addition to common charitable organizations that operate exclusively for religious, charitable, scientific, or educational purposes, you may give to veterans’ posts, certain fraternal orders, volunteer fire departments, and civil defense organizations but not politically active groups. The income tax deduction for your charitable gift will be determined in part by

Read More »
Don’t fall victim to halalwashing

Is your financial advisor guilty of ‘halalwashing’? Ask these 5 questions to find out.

Halalwashing is when a company makes false or misleading claims about their investment’s Shariah compliance. Far too often, we see advisors claiming to invest halal for their clients while being intentionally ambiguous.  Advisors who promise to manage a portfolio in accordance with Islamic investment guidelines, but then lack written policies or procedures designed to ensure that they do what they say they’ll do, are engaging in halalwashing. Unlike ESG investing which has no set regulations or definitions for what makes something “sustainable”, the Islamic financial industry has a renowned institution called the Accounting and Auditing Organizations for Islamic Financial Institutions

Read More »
How investments are taxed Azzad Asset Management Investment Firm Virginia

How investments are taxed

Note: This article refers to common financial products, including interest-generating investments. They are mentioned here for educational purposes only. As a matter of policy, Azzad avoids these types of financial instruments for its clients. To learn more about reasons to avoid interest income in your portfolios, click here. It’s nice to own stocks, bonds, and other investments. Nice, that is, until it’s time to fill out your federal income tax return. At that point, you may be left scratching your head. Just how do you report your investments and how are they taxed? Is it ordinary income or a capital

Read More »