It is ABSOLUTELY no fun to see that envelope from the IRS in your mail, and when you open it to find they have decided to audit your return, it’s even less fun! So what causes some taxpayers to be audited while others never seem to have any contact with the IRS? As with many…
Here’s good news: the properly used business vacation home or condo does not suffer from the vacation-home rules, the passive-loss rules, or the entertainment-facility rules. In these days of COVID-19, you may have solid reasons to use your vacation home or condo for two purposes only: personal pleasure, and business lodging. How Business Use Escapes…
Due to the COVID-19 pandemic, the IRS has gradually postponed necessary tax filing and payment deadlines. Now, the IRS has issued new guidance postponing almost all tax-related actions over the next few months. This latest postponement is much more extensive than anything granted previously. We’ll explain whether you qualify for relief, what the IRS postponed,…
Here are two ways to possibly reduce taxes in retirement while extending the life of your nest egg by being smart about which accounts you tap first.
Your year-end tax planning doesn’t have to be hard. I have outlined below five strategies that will increase your tax deductions or reduce your taxable income so that Uncle Sam gets less of your 2018 cash. Prepaying your 2019 expenses right now reduces your taxes this year, without question. While it’s true you kicked the…
It’s time to examine your existing cars, SUVs, trucks, and vans for some profitable year-end business tax deductions. Your first step is to identify your gain or loss on sale. Once you have the gain or loss, know these basic rules: Gains attributable to depreciation produce ordinary income. Gains in excess of original basis produce…
If there’s one thing that we’ve learned from tax season, it’s that every year, we see first-time filers struggling with software, tax codes, and sifting through paperwork they aren’t sure they need. With the new “gig centered” economy – Uber, AirBNB, UpWork and many others, “regular” employees often are having to document income from new…
Now that we’ve made it past April 15th, accountants and business owners all over the country are breathing a collective sigh of relief. One thing we run into every year, though, that trips up new entrepreneurs, is handling and accounting for IRS From 940. It’s likely that many of the stereotypes we associate with income…
Companies long ago mastered the idea of “giving back” for a lot of reasons – some based on tax benefits and some on completely altruistic grounds. In many cases, the idea of giving back usually didn’t mean giving away profits, but rather, being socially responsible. The truth is, we, as consumers, like companies that are…
