Tariff on US carmakers eased

On April 29, 2025, President Trump signed an executive order designed to ease the effect of tariffs on U.S. carmakers. The order removes levies that vehicle manufacturers have complained would raise the cost of production, force them to increase prices and harm company profitability. The executive order says manufacturers that pay a 25% tariff on […]

What tax documents can you safely shred? And which ones should you keep?

Once your 2024 tax return is in the hands of the IRS, you may be tempted to clear out file cabinets and delete digital folders. But before reaching for the shredder or delete button, remember that some paperwork still has two important purposes: Protecting you if the IRS comes calling for an audit, and Helping […]

Tax package moving forward

According to U.S. Treasury Secretary Scott Bessent, congressional Republicans will have a “substantial agreement” regarding tax legislation by July 4, 2025. Speaker of the House Mike Johnson (R-LA) has taken a more aggressive stance, claiming “we can pass [the legislation] by Memorial Day.” Either way, the tax package is expected to extend many Tax Cuts […]

GAO study released

The Government Accountability Office (GAO) found that an estimated $15.9 billion in Earned Income Tax Credit claims were erroneously paid out in 2024. Could artificial intelligence (AI) be used to combat such improper payments? A GAO study reports that AI-enabled tools could help by sifting through large volumes of data to find anomalous patterns or […]

Small business alert: Watch out for the 100% penalty

Some tax sins are much worse than others. An example is failing to pay over federal income and employment taxes that have been withheld from employees’ paychecks. In this situation, the IRS can assess the trust fund recovery penalty, also called the 100% penalty, against any responsible person. It’s called the 100% penalty because the […]

Firewall Act introduced to address natural disaster preparation

Natural disasters in the United States totaled nearly $182.7 billion in 2024, the fourth-costliest year on record. In response, U.S. Senators Adam Schiff (D-CA) and Tim Sheehy (R-MT) have introduced the FIREWALL Act. It would provide refundable tax credits to eligible residents to improve their home’s resiliency to natural disasters. Specifically, the bipartisan bill would […]

Is a 529 plan right for you?

As summer nears, many parents are already thinking about covering education costs for the next school year. One option is the Section 529 savings plan, which offers federal (and sometimes state) tax benefits. Originally these plans could only be used for postsecondary education. The Tax Cuts and Jobs Act expanded the plans to cover K-12 […]

Fight corporate corruption with robust accounting systems

Financial losses from corruption are on the rise, according to “Occupational Fraud 2024: A Report to the Nations,” published by the Association of Certified Fraud Examiners (ACFE). Nearly half the cases in the latest version of this report involved corruption. Even more alarming is the finding that the median loss for corruption cases grew by […]

Tax-Exempt 2024 filing due soon

The tax filing deadline has passed for most of us, but not for all. For example, the IRS is reminding tax-exempt entities that they must file their 2024 returns by May 15. Those who can’t meet that deadline may seek a six-month extension. Many of the Form 990 series returns and Form 4720 (for private […]

Who’s pulling the strings behind that investment?