Yearly Archives: 2020

Article Highlights: Emergency Coronavirus Relief Act of 2020Stimulus PaymentsUnemployment AssistanceCDC Eviction MoratoriumPaycheck Protection Program LoansEarned Income Tax Credit & Child Tax CreditSchool FundingChild CareTransportation After months of political bickering, Congress has reached an agreement on an emergency coronavirus relief bill and the President has said he would sign it. Although not all the details are [...]

Article Highlights: Economic Impact PaymentsHigh-Income Taxpayer PhaseoutUsing the 2018 and 2019 ReturnsWho Qualified for a Rebate?Deceased IndividualsTax Return Non-filersReconciliation on the 2020 Return One of the more tax-troubling issues this year has been the distribution of what Congress referred to as the recovery rebates. You may know these payments as the Economic Impact Payments (EIPs) [...]

Article Highlights Take Full Advantage of Your DeductionsTraditional IRA Contributions at Any AgeMake Charitable Contributions with IRA FundsLarger-than-Normal Charitable Contributions May Be PossibleDeducting Charitable Contributions Without ItemizingMarital StatusMaximize 2020 Education Tax CreditsConvert Your Traditional IRA into a Roth IRARemember the Annual Gift Tax ExemptionMedical ExpensesProperty TaxesManage Your Stock Portfolio It seems hard to believe, but [...]

Article Highlights: Watch Out for Holiday Gift ScamsGifts with Tax BenefitsGift of College TuitionQualified Tuition ProgramsQualified Charitable DistributionDonor-Advised FundsWork EquipmentEmployee GiftsMonetary Gifts to IndividualsDocumentationTimingSpecial Rules for 2020 Contributions The holiday season is customarily a time of giving gifts, whether to your favorite charity, family members or others. Some gifts even provide a variety of tax [...]

Article Highlights: New Clever Scammer SchemeUses Economic Impact Payments as BaitThe Text MessageHow to Report a ScamHow to Correctly Provide Information to Claim a Payment The IRS has warned taxpayers of a clever scheme by internet scammers to dupe taxpayers into revealing their bank account information under the guise of receiving the $1,200 Economic Impact [...]

Article Highlights: Airbnb, VRBO, and HomeAwayRented for Fewer than 15 Days During the YearThe 7-day and 30-day RulesExceptions to the 30-Day RuleSchedule C Reporting Many taxpayers rent out their first or second homes without considering tax consequences. Some of these rules can be beneficial, while others can be very detrimental. If you rent your home [...]

As the end of the tax year approaches, it is worth spending a few minutes reviewing some of the changes that have been made in the tax laws surrounding donations to charities. In some cases, this guide will serve as a refresher regarding revisions made over the last few years, while in other cases there [...]

Article Highlights: Itemized DeductionAGI LimitationsWhat Insurance is DeductibleAbove-the-Line Deduction for the Self-EmployedIncome LimitationSubsidized Limitation Health insurance premiums, especially in the wake of the Affordable Care Act, have risen dramatically and are one of the greatest expenses that most individuals pay. Although the cost of health insurance is allowed as part of an individual’s medical deductions [...]

Article Highlights: Unemployment Benefits TaxabilityTo Skip or Not Skip the 2020 Required Minimum DistributionSpecial Charitable Giving OpportunitiesDivorced or Separated Planning IssuesPotential State Health Insurance PenaltiesDealing with Disaster Losses in 2020Retroactive Kiddie Tax Rules – Amended OpportunityRetroactive Tax Benefits May Provide Refunds Preparing for Home Sale ReportingAvoiding Underpayment PenaltiesRetroactive Bonus Depreciation OpportunitiesNew NOL Carryback OpportunitiesComplying with Reasonable [...]

Article Highlights: IRS’s Unopened Mail BacklogUncashed ChecksDishonored Payment PenaltyIRS Relief for Taxpayers During the COVID-19 pandemic, the IRS has furloughed many of its employees or had them work from home to mitigate the spread of the virus. Many IRS offices remained shuttered for months, and a backlog of millions of pieces of unopened mail accumulated [...]