Pay attention to the tax rules if you turn a hobby into a business

Many people dream of turning a hobby into a regular business. Perhaps you enjoy boating and would like to open a charter fishing business. Or maybe you’d like to turn your sewing or photography skills into an income-producing business. You probably won’t have any tax headaches if your new business is profitable over a certain […]

Thinking of giving to a political campaign?

As this election year heats up, many of us want to financially support our candidates, but limits apply. Here are a few pointers from the Federal Election Commission (FEC): contributions to federal elections aren’t tax deductible. In 2024, individuals can donate up to $3,300 per federal election to a candidate committee (but cash contributions are […]

Living abroad?

U.S. citizens and resident aliens living abroad may have tax obligations, and there’s still time to file 2023 tax returns. For these individuals, worldwide income (including wages, unearned income and tips) is subject to U.S. income tax, regardless of where they live or earn income. They also have filing requirements. Taxpayers have an automatic two-month […]

It’s almost time for a midyear checkup on your company’s financial health

Interim financial reporting is essential to running a successful business. When reviewing midyear financial reports, however, you should recognize their potential shortcomings. These reports might not be as reliable as year-end financials, unless a CPA prepares them or performs agreed-upon procedures on specific accounts. Realize the diagnostic benefits Monthly, quarterly and midyear financial reports can […]

Innocent Spouse Relief

A married couple filing a joint tax return makes the spouses “jointly and severally” liable for the entire tax due. A joint filer may seek “innocent spouse” relief to avoid liability. In one case, an ex-wife was denied relief. She and her ex-husband managed rental properties. The tax deficiency arose from sources including unreported cancellation […]

IRS warns taxpayers they may be a scam victim

The IRS is reporting that this tax season it’s seeing an uptick of inflated refund claims centered around the Fuel Tax Credit, the Sick and Family Leave Credit, and household employment taxes. It stated that a series of tax scams and inaccurate social media advice has led to thousands of taxpayers claiming credits for which […]

Starter 401(k) plans

Starter 401(k) plans, Is it right for your business?

Does Your State Have a Throwback or Throwout Rule?

Does Your State Have a Throwback or Throwout Rule? https://bit.ly/3QYJRva

Extending expiring provisions in the TCJA would increase deficit

Most of the individual income tax provisions in the Tax Cuts and Jobs Act (TCJA) are slated to expire at the end of 2025. The estimated cost of extending expiring tax provisions, including those under the TCJA, for the next 10 years would add nearly $4.6 trillion to the federal budget deficit, according to the […]

Do you need to make estimated tax payments?

A popular way for young people to earn money is through the “gig economy.” That means they provide on-demand work, goods or services, often through an online platform. Many fully employed people also do gig work to supplement their income. The IRS wants gig workers to know that any money they earn this way is […]