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Highlights of the American Rescue Plan Act Information

Posted on April 4th, 2021

Signed into law on March 11, 2021, the American Rescue Plan Act (ARPA) contains several tax provisions affecting individuals and families. Let’s take a look: Read More…

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Self-Employed Can Claim Sick & Family Leave Tax Credit

Posted on April 4th, 2021

A new form is available for self-employed individuals to claim sick and family leave tax credits under the Families First Coronavirus Response Act (FFCRA). The FFCRA, passed in March 2020, allows eligible self-employed individuals who, due to COVID-19, are unable to work or telework for reasons relating to their own health or to care for a family member to claim refundable tax credits to offset their federal income tax. Read More…

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Q & A: The $10,200 Unemployment Tax Break

Posted on April 2nd, 2021

Generally, unemployment compensation received under the unemployment compensation laws of the United States or a state is considered taxable income and must be reported on your federal tax return. However, a new tax break — in effect only for the 2020 tax year — lets you exclude the first $10,200 from taxable income. Here’s what you should know: Read More…

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Tax Filing Season Starts February 12

Posted on February 4th, 2021

Although tax season usually starts in late January, this year, the tax filing season is delayed until February 12, 2021. The delayed start date for individual tax return filers allowed the IRS time to do additional programming and testing of IRS systems following the December 27, 2020, tax law changes that provided a second round of Economic Impact Payments and other benefits to many taxpayers. This programming work is critical to ensuring IRS systems run smoothly to minimize refund delays and ensure that eligible people will receive any remaining stimulus money as a Recovery Rebate Credit when they file their 2020 tax return. Read More…

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What’s New for 2020 Tax Returns

Posted on February 3rd, 2021

As always, taxpayers should be aware of several key items involving credits, deductions, and refunds when filing their tax returns. Let’s take a look: Read More…

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Important Tax Changes for Individuals and Businesses

Posted on January 5th, 2021

Every year, it’s a sure bet that there will be changes to current tax law and this year is no different. From standard deductions to health savings accounts and tax rate schedules, here’s a checklist of tax changes to help you plan the year ahead. Read More…

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Standard Mileage Rates for 2021

Posted on January 4th, 2021

Starting January 1, 2021, the standard mileage rates for the use of a car, van, pickup, or panel truck are as follows: Read More…

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What is the Excise Tax? Taxable Goods and Services

Posted on January 3rd, 2021

An excise tax is a tax that is generally imposed on the sale of specific goods or services, or on certain uses. Examples of things a federal excise tax is usually imposed on include the sale of fuel, airline tickets, heavy trucks and highway tractors, indoor tanning, tires, and tobacco, as well as other goods and services. Excise taxes are imposed on a wide variety of goods, services, and activities and may be imposed at the time of: Read More…

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Rental Real Estate Qualifies as a Business

Posted on October 5th, 2019

A safe harbor is now available for taxpayers seeking to claim the section 199A deduction with respect to a “rental real estate enterprise.” What this means is that certain interests in rental real estate – including interests in mixed-use property – are allowed to be treated as a trade or business for purposes of the qualified business income deduction under section 199A of the Internal Revenue Code. Read More…

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Employer Credit for Family and Medical Leave

Posted on October 3rd, 2019

Thanks to the passage of the Tax Cuts and Jobs Act last year, there’s a new tax benefit for employers: the employer credit for paid family and medical leave. As the name implies, employers may claim the credit based on wages paid to qualifying employees while they are on family and medical leave. Read More…

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October 1 Deadline to Set up SIMPLE IRA Plans

Posted on September 1st, 2019

Of all the retirement plans available to small business owners, the SIMPLE IRA plan (Savings Incentive Match PLan for Employees) is the easiest to set up and the least expensive to manage. The catch is that you’ll need to set it up by October 1st. Here’s what you need to know. Read More…

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New Opportunities for Deferring Taxable Gains: Qualified Opportunity Zones 101

Posted on July 19th, 2019

What are Qualified Opportunity Zones and how can I benefit as a taxpayer?

Recently, I’ve had many clients – individuals, business owners, and investors – ask me about the recent buzz surrounding Qualified Opportunity Zones (QOZs). They’ve come to me saying they’ve heard that QOZs can help them defer…and even reduce…their tax liability on capital gains.

The first thing I tell them is, yes, all of the above is true. Next? I warn them that it’s complicated, like many of the tax regulations that have emerged from 2018’s Tax Cuts and Jobs Act. You must consult with a qualified CPA to ensure you’re following proper protocol required for reaping the rewards of investing in a Qualified Opportunity Zone. Read More…

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Good News: Most Rentals Likely Qualify as Section 199A Businesses

Posted on June 28th, 2019

The Tax Cuts and Jobs Act (TCJA) tax reform added new tax code Section 199A, which created a 20 percent tax deduction possibility for you if your rental property (a) has profits and (b) can qualify as a trade or business.1 Read More…

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How the Sharing Economy Affects Your Taxes

Posted on June 5th, 2019

If you’ve ever used—or provided services for—Uber, Lyft, Airbnb, Etsy, Rover, or TaskRabbit, then you’re a member of the sharing economy and it could affect your taxes. The good news is that if you’ve only used these services (and not provided them), then there’s no need to worry about the tax implications. Read More…

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Employers: Backup Withholding Lowered to 24 Percent

Posted on June 5th, 2019

Small business owners are reminded that tax reform legislation lowered the backup withholding tax rate to 24 percent. In addition, the withholding rate that usually applies to bonuses and other supplemental wages was also lowered to 22 percent. Read More…

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