Can we simplify the tax code?

The American Institute of CPAs (AICPA) believes the U.S. tax code should be simpler, much simpler. In a letter to the IRS, the AICPA urged the agency and U.S. Treasury Dept. to “continue pursuing tax simplification.” Among the suggestions supplied by the AICPA were safe harbor alternatives; clear and consistent definitions and simple, general rules; […]

Do you maintain your tax-exempt status?

Under Section 501(c)(3) of the tax code, an organization can be exempt from federal income tax if it’s operated exclusively for charitable, religious, scientific or other qualified purposes. In one case, a coffee shop/restaurant was operated as a tax-exempt organization. It was granted a tax exemption to provide training and employment opportunities for certain individuals. […]

Ranking Property Taxes on the 2023 State Business Tax Climate Index

Ranking Property Taxes on the 2023 State Business Tax Climate Index https://bit.ly/3ozpUjH

IRS renewing efforts to alert businesses of misleading ERC claims

The IRS is renewing its efforts to alert business owners of misleading claims involving Employee Retention Credits (ERCs). Indeed, there continues to be a barrage of broadcast advertising, direct mail solicitations and online promotions about ERCs. “Aggressive promoters are wildly misrepresenting and exaggerating who can qualify for the credits,” the IRS said. In response, the […]

Income matching on your tax return

The IRS electronically matches the information you report on your tax return with what’s reported by others on documents such as W-2s and 1099s. If there are discrepancies, your return may be flagged for closer scrutiny by the IRS. When we prepare your return, be sure to tell us about all income, even if you […]

Being a gig worker comes with tax consequences

In recent years, many workers have become engaged in the “gig” economy. You may think of gig workers as those who deliver take-out restaurant meals, walk dogs and drive for ride-hailing services. But so-called gig work seems to be expanding. Today, some nurses have become gig workers and writers in Hollywood who recently went on […]

Report criticizes Nonprofit hospitals

Nonprofit hospitals are exempt from paying federal tax if they meet certain requirements. These include providing free or discounted care and operating community health education activities. In a recent report, self-described nonpartisan think tank the Lown Institute found that more than 1,350 nonprofit hospitals didn’t meet the requirements. “Americans desperately need hospitals to use their […]

Estimated Tax Payment due soon

You’re required to pay taxes as you earn or receive income during the year, either through withholding or by making estimated tax payments. For estimated tax purposes, there are four payment periods. The due date for 2023’s next quarterly payment is Thursday, June 15. (The first payment was due April 18, and the last two […]

The IRS has just announced 2024 amounts for Health Savings Accounts

The IRS recently released guidance providing the 2024 inflation-adjusted amounts for Health Savings Accounts (HSAs). HSA fundamentals An HSA is a trust created or organized exclusively for the purpose of paying the “qualified medical expenses” of an “account beneficiary.” An HSA can only be established for the benefit of an “eligible individual” who is covered […]

Is your passport at risk?

If you have seriously delinquent tax debt (SDTD), it could put your passport at risk, unless an exception applies. In 2023, SDTD is an unpaid federal tax debt of more than $59,000. So long as the IRS first follows certain procedures, the U.S. State Dept. generally can deny, revoke or limit the passport of someone […]