Deducting a trust’s charitable donations

October 19, 2022By Smeriglio Associates LLCNews

If you’re charitably inclined, it may be desirable to donate assets held in a trust. Why? Perhaps you’re not ready to let go of assets you hold individually. Or maybe the tax benefits of donating trust property would be more attractive than making an individual donation. Before moving forward, it’s important to understand the differences, … Read More

IRS: FBAR Discussion

October 19, 2022By Smeriglio Associates LLCNews

The IRS is reminding U.S. citizens, resident aliens and domestic legal entities that the extension deadline to file an annual Report of Foreign Bank and Financial Account (FBAR) is Oct. 17, 2022. Filers missing the April 15 annual FBAR due date earlier this year received an automatic extension until Oct. 17 to file their FBARs. … Read More

2022 – 09/15 – What does “probate” mean?

October 18, 2022By Smeriglio Associates LLCNews

The term “probate” is one you’ve probably heard and might associate with negative connotations. But you may not fully understand what it is. For some people, the term conjures images of lengthy delays waiting for wealth to be transferred as well as bitter disputes among family members. Others, because the process is open to the … Read More

IRS: Child Tax Credit Progress

October 18, 2022By Smeriglio Associates LLCNews

The Child Tax Credit (CTC) was increased for 2021 and the IRS was tasked with quickly making direct periodic payments to eligible families for part of the year. How did the IRS do? The Treasury Inspector General for Tax Administration (TIGTA) took a look at the accuracy of the payments. Overall, the IRS hit 98% … Read More

IRS: Student Athlete Compensation

October 17, 2022By Smeriglio Associates LLCNews

More than a year ago, the U.S. Supreme Court ruled that student athletes can be compensated for the use of their names, images or likenesses (NIL). Now, a new bipartisan bill would eliminate a tax incentive for contributions to tax-exempt affiliates of colleges and universities. Since the ruling, groups of college boosters (third-party entities that … Read More

IRS: Backlog Update

October 15, 2022By Smeriglio Associates LLCNews

The IRS has set a year-end deadline to clear its backlog of unprocessed tax returns. How’s it going? As of Sept. 30, there were 5.8 million individual returns outstanding (down from 8.7 million in August). Despite making progress, the IRS still faces challenges. The agency has hired 5,000 new workers at processing centers and the … Read More

IRS: Required Minimum Distributions

October 14, 2022By Smeriglio Associates LLCNews

The IRS is providing relief for taxpayers who didn’t take certain required minimum distributions (RMDs) from inherited IRAs and other plans. The relief under Notice 2022-53 is for taxpayers subject to the “10-year rule” who didn’t take RMDs in 2021 or 2022 but were required to do so. The SECURE Act requires that inherited plans … Read More

IRS: Low-Income Housing Tax Credit Rules

October 13, 2022By Smeriglio Associates LLCNews

The IRS issued guidance on Oct. 7 that makes several changes to the low-income housing tax credit rules. The changes include extended housing credit program deadlines and finalization of a rule that will make more-affordable housing developments financially viable. The new guidance “will have an immediate impact, allowing stalled housing developments to move forward at … Read More