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 [...]
Article Highlights: October 15 extended due date for filing federal individual tax returns for 2019.Late-filing penalty.Interest on tax due. Other October 15 deadlines. Because of the COVID-19 pandemic emergency, the IRS postponed the original due date for filing 2019 returns to July 15, 2020. If you could not complete your 2019 tax return by July 15 [...]
Ever since the coronavirus pandemic began impacting the United States, businesses around the country have responded by instituting work-from-home policies. While it is unclear how much longer the nation will be in the grips of the crisis, social distancing is likely to remain in place for many organizations. Some of the country’s most recognizable brands, [...]
September 10 - Report Tips to EmployerIf you are an employee who works for tips and received more than $20 in tips during August, you are required to report them to your employer on IRS Form 4070 no later than September 10. Your employer is required to withhold FICA taxes and income tax withholding for [...]
