IRS workforce reduced, Will AI fill the gap?

A new report from the Treasury Inspector General for Tax Administration (https://bit.ly/4m4QAS9 ) states that between Jan. and March 2025, the overall IRS workforce decreased by 11%. More specifically, 31% of IRS employees fired were revenue agents and 5% worked in information technology (IT). Treasury Secretary Scott Bessent told a House subcommittee that the current […]

Offer in Compromise

If taxpayers can’t pay the tax they owe in full, one option is to seek an offer in compromise (OIC) from the IRS. That’s a way to potentially settle the debt for less than you owe. The IRS states it will generally accept a reasonable offer. Be aware, the tax agency will first do a […]

Estimating fair value today

Many balance sheet items are reported at historical cost. However, current accounting standards require organizations that follow U.S. Generally Accepted Accounting Principles (GAAP) to report certain assets and liabilities at “fair value.” This shift aims to enhance transparency and reflect an entity’s current financial position more accurately. However, estimating fair value can involve significant judgment […]

Summer Camp expenses may count toward Child Care Credit

Most kids will soon be out of school for the summer and many will head to summer camp. Sending your child to a summer day camp while you work may count as an expense toward the federal Child and Dependent Care Credit. Under current law, this credit ranges in value from 20% to 35% of […]

Tax Exempt organizations exemptions under fire

Tax-exempt status means that qualified not-for-profit organizations are exempt from paying federal income and property taxes. It also enables donors to nonprofits to potentially deduct their contributions. Recently, President Trump called for the IRS to rescind Harvard University’s tax-exempt status. Historically, both Republicans and Democrats have declared that certain nonprofits should lose their exemptions. But […]

Fun for kids, tax savings for you

2026 Federal Budget Proposal released

President Trump has released his 2026 federal budget proposal. It allocates $1.7 trillion in spending, including increases to defense and homeland security. It cuts $163 billion from other agencies, including double-digit percentages to Labor, Agriculture, the Small Business Administration and Commerce, as well as from scientific research and safety net programs. The IRS would lose […]

National Wildfire Awareness Month

May is National Wildfire Awareness Month, and the week of May 4 is National Hurricane Preparedness Week. Fast fact: So far in 2025, FEMA has issued 12 major disaster declarations in nine states impacted by winter storms, flooding, tornadoes and wildfires. With tax season over and peak season for disasters approaching, the IRS is reminding […]

HSA limits updated for 2025

If you’re covered by a high-deductible health plan (HDHP), you can contribute pretax income to a Health Savings Account (HSA) up to certain limits. Funds can be withdrawn tax-free to pay qualified medical expenses. The IRS annually adjusts HSA and HDHP contribution limits for inflation. For 2026, the maximum HSA contribution amount for individuals will […]

State and Local Tax Collections Per Capita by State, 2025

State and Local Tax Collections Per Capita by State, 2025 https://bit.ly/4kl21mX