Article Highlights: ID Theft What’s in Your Wallet or Purse Phony E-mail Pop-up Ads Only Access Secure Websites Avoid Phishing Scams Security Software Educate Children Passwords Phony Charities Impersonating the IRS Back Up Files If It Is Too Good to Be True   As much as the Internet has changed our lives for the good, […]

Article Highlights: Standard Deductions Itemized Deductions Bunching Strategy Medical Expenses Taxes Charitable Contributions The changes in the 2017 Tax Cuts and Jobs Act (TCJA) included nearly doubling the standard deduction and placing limitations on or suspending certain itemized deductions, effective for tax years 2018 through 2025. The new standard deduction amounts for 2018 were $12,000 […]

Are You a Candidate for Bunching?

Article Highlights: Underpayment of Estimated Tax and Withholding Penalty Required Minimum Distribution Penalty Late-Filing Penalty Late-Payment Penalty Negligence Penalty Fraud Penalty Dishonored Check Penalty Missing ID Number Penalty Early Withdrawal Penalty Penalty for Failure to Report Tips Foreign Reporting Excessive Claim Penalty Accuracy-Related Penalty for Non-itemizers Frivolous Return Penalty Penalty for Failure to File Information […]

Watch Out for Tax Penalties

Article Highlights: Tax Compliance Hard-to-Trace Income Sources Two-Tiered Compliance Bank Transaction Reporting Threshold Tax-compliance rates in the United States are based, in large part, on how taxpayers accrue income. Those who receive income that is reported by a third-party source, such as wage earners, exhibit near-perfect compliance rates on their salaries – since the payer […]

Biden Administration Backs Off on Proposed Bank Transaction Threshold

Article Highlights: Taking Stock of Tax Strategies Education Tax Credits Converting a Traditional IRA to a Roth IRA Minimum Required Distributions Charitable Contributions Qualified Charitable Distributions Health Savings Accounts Prepaying State Taxes Paying Medical/Dental Bills Gifting Avoiding Underpayment Penalties It seems hard to believe, but the holiday season is almost upon us, and that means […]

10 Tax-Saving Strategies to Consider Before Year-End

There’s an old saying about not trying to pack your parachute after you’ve already stepped off the plane. In other words, it’s generally not a good idea to delay some action or decision until you’re already in the middle of it. Take the Paycheck Protection Program (PPP). The forgiveness provision is perhaps its most compelling […]

Have a Paycheck Protection Program Loan? What to Know About PPP Loan Forgiveness [Updated]

There’s an old saying that there is no exception to the rule that every rule has an exception. Think about it. The general tax rule for debt forgiveness states that the amount of debt forgiven is subject to federal income tax. PPP loan forgiveness is an exception, although from an overall tax perspective it didn’t start […]

Have a Forgiven Paycheck Protection Program (PPP) Loan? Understand The Tax Rules for PPP Loan Forgiveness

Article Highlights: New Business Tax Break Restaurant Purchased Meals Qualifying Restaurants Take-out Meals Lavish Limitations Taxpayer Presence Substantiation Congress has provided businesses with a temporary tax break as a means of helping the restaurant industry, which has been devastated by the COVID pandemic. Although the Tax Cuts and Jobs Act eliminated the business deduction for […]

Restaurants and Businesses Benefit from Temporary Tax Break  

Article Highlights Long-Term Capital Gains Rates Top Individual Tax Rate Pass-Through Income Subject to 3.8% NIIT or SECA Tax Limit Nonrecognition of Like-Kind Exchanges Transfer of Appreciated Property by Gift or Death Family-Owned and -Operated Businesses 15-Year Fixed-Rate Payment Plan Excess Business Loss Limitation Carried Interest Enhanced Financial Account Reporting The U.S. Treasury has released […]

The Treasury Green Book of Biden Proposed Tax Changes