Fraud also occurs by mail

You may already know that fraudsters frequently send emails and text messages that purport to be from the IRS but are actually attempts to steal your personal information. You may also know that the IRS primarily uses the U.S. Postal Service to communicate directly with taxpayers. However, be aware that some criminals also use snail […]

Certain charitable donations allow you to avoid taxable IRA withdrawals

If you’re a philanthropic individual who is also obligated to take required minimum distributions (RMDs) from a traditional IRA, you may want to consider a tax-saving strategy. It involves making a qualified charitable distribution (QCD). How it works To reap the possible tax advantages of a QCD, you make a cash donation to an IRS-approved […]

Lawmakers show support of expanding disclosure of tax information

Lawmakers are showing bipartisan support for legislation that would expand disclosure of certain individuals’ tax information to third parties. Recently, the U.S. House Ways and Means Committee unanimously advanced the Strengthening State and Tribal Child Support Enforcement Act to the full chamber. A similar bill is moving through the U.S. Senate. The House version would […]

IRS updates its online taxpayer tools

The IRS continues to make progress on expanding its online taxpayer services and tools. The tax agency’s Individual Online Account tool now offers improved features, including detailed refund status updates and comprehensive audit information, among other enhancements. Specifically, the tool gives taxpayers the ability to retrieve tax-related information from one source. It also allows them […]

Be aware of the tax consequences of selling business property

If you’re selling property used in your trade or business, you should understand the tax implications. There are many complex rules that can potentially apply. To simplify this discussion, let’s assume that the property you want to sell is land or depreciable property used in your business, and has been held by you for more […]

IRS shares new red flags on ERTC claims

To say that the Employee Retention Tax Credit (ERTC) has been troublesome for the IRS and some taxpayers is an understatement. Indeed, the IRS crackdown on ineligible ERTC claims came to light in July 2023, when the tax agency announced that it was shifting its ERTC review focus to compliance concerns. Now, the IRS has […]

IRS updates fact sheet on eligibility for clean vehicle tax credit

Under the Inflation Reduction Act, an eligible taxpayer can claim a tax credit of up to $7,500 for a new “clean vehicle.” There’s also a credit of up to $4,000 for a used clean vehicle. These are qualified plug-in electric vehicles and fuel cell vehicles. A vehicle must meet certain requirements, and there are income […]

Why auditors monitor journal entries

With a median loss of $766,000, financial misstatement schemes are the costliest type of fraud, according to “Occupational Fraud 2024: A Report to the Nations,” a study published by the Association of Certified Fraud Examiners. Fortunately, auditors and forensic accountants may be able to detect financial statement fraud by testing journal entries for errors and […]

Is it ordinary and necessary, and for profit?

Business owners can generally deduct on their tax returns the ordinary and necessary costs they incur. But they must be able to prove they’re engaged in legitimate businesses to make a profit. In one case, the U.S. Tax Court ruled a taxpayer wasn’t entitled to deduct business expenses associated with writing because she wasn’t engaged […]

State Sales Tax Breadth and Reliance, FY 2022

State Sales Tax Breadth and Reliance, FY 2022 https://bit.ly/46vK8w8