A recent report by the Joint Committee on Taxation, a nonpartisan committee of the U.S. Congress, discusses the definitions of “small business” for tax purposes. As the report states, there’s no one definition of a small business. Instead, several definitions apply depending on the context, various criteria and certain thresholds. Criteria include a business’s gross […]

A recent report from the Treasury Inspector General for Tax Administration (TIGTA) about IRS hiring provides some information about the size of the “tax gap.” The tax gap is the difference between the amount of tax owed for a tax year and the amount that’s actually paid on time and voluntarily. In the report, the […]

Individuals who travel for business may be eligible for tax deductions. The IRS defines a “business traveler” as an individual who travels away from home for longer than an ordinary day’s work and needs to sleep somewhere other than home to meet the demands of work while away. Deductible expenses must be ordinary and necessary. […]

The IRS is cracking down on a popular small business tax break that could lead to a costly audit – CNBC https://bit.ly/3qutEmR 

When information is needed for an investigation, the IRS may issue summonses to 3rd parties to obtain records. Under tax law, any person subject to an audit by the IRS has the right to petition a court to quash (or set aside) such summonses. In one case, the IRS issued summonses related to the sale […]

Summer is almost here, and many young people will work while school is out to earn extra money. It might be babysitting, dog walking or something else. Keep in mind that if goods and services are exchanged for money, there may be tax implications. Even if you’re a dependent on your parents’ tax return, if […]