With the 2021 tax year nearly half over, it’s a good time to review your eligibility for tax deductions and tax credits. To help you minimize your tax bill, the IRS is offering tips for year-round tax planning. Tax deductions lead to reduced taxable income. To find out if you can itemize deductions (rather than … Read More
If you’re a parent with a college-bound child, you may be concerned about being able to fund future tuition and other higher education costs. You want to take maximum advantage of tax benefits to minimize your expenses. Here are some possible options. Savings bonds Series EE U.S. savings bonds offer two tax-saving opportunities for eligible … Read More
Taxpayers who rehabilitate a historic structure may qualify for a rehabilitation tax credit. To help interested parties gain a basic understanding of the rehab credit, the IRS has issued a series of frequently asked questions on the topic. For example, who can claim a rehab credit? Taxpayers that own an interest in the building directly … Read More
Estate planning isn’t just about what happens to your assets after you die. It’s also about protecting yourself and your loved ones. This includes having a plan for making critical medical decisions in the event you’re unable to make them yourself. And, as with other aspects of your estate plan, the time to act is … Read More
U.S. Treasury Secretary Janet Yellen told lawmakers on June 17 that “there are some tough trade-offs in fiscal policy,” but “a fairer tax code for a structurally sound economy is not one of them.” Appearing before the House Ways and Means Committee hearing on the Administration’s Fiscal Year 2022 budget proposal, Yellen called the president’s … Read More
The “sandwich generation” is a large segment of the population. These are people who find themselves caring for both their children and their parents at the same time. As a result, estate planning — which traditionally focuses on providing for one’s children — has expanded in many cases to include one’s aging parents as well. … Read More
The Treasury Inspector General for Tax Administration (TIGTA) has reported for some time that the IRS’s technology needs upgrades. According to a recent TIGTA audit, as of May 2020, the IRS reported that “within the next three years, 619 information technology employees with expert-level skills are eligible to retire.” That’s 50.2% of the IRS’s IT … Read More
At many businesses, job descriptions have it easy. They were “hired” (that is, written) many years ago. They haven’t had to change or do anything, really, besides get copied and pasted into a want ad occasionally. They’re not really good at what they do, but they’re used again and again because everyone assumes they’re just … Read More
Individuals who give the IRS Whistleblower Office information about unpaid federal tax may qualify for cash awards. To be eligible, the tip must be credible, specific and relate to “tax underpayments or violations of internal revenue laws,” and the IRS must use the information to collect proceeds. One whistleblower claimed that the IRS used information … Read More
Most of us are taught from a young age never to assume anything. Why? Well, because when you assume, you make an … you probably know how the rest of the expression goes. A dangerous assumption that many business owners make is that, if their companies are profitable, their cash flow must also be strong. … Read More