Florida Tax relief granted

The IRS is granting tax relief to Florida taxpayers affected by Hurricane Idalia. After President Biden declared 46 Florida counties disaster areas, the IRS extended filing and payment deadlines for impacted individuals and businesses. For deadlines on or after Aug. 27, 2023, and before Feb. 15, 2024, taxpayers must now file or pay by Feb. […]

Plan now for year-end gifts with the gift tax annual exclusion

Now that Labor Day has passed, the holidays are just around the corner. Many people may want to make gifts of cash or stock to their loved ones. By properly using the annual exclusion, gifts to family members and loved ones can reduce the size of your taxable estate, within generous limits, without triggering any […]

Cash payment transaction reporting goes electronic

Businesses that receive more than $10,000 in cash must report the transactions to the IRS. This is done on Form 8300, Report of Cash Payments Over $10,000. Although many cash transactions are legitimate, information reported on Form 8300 can help combat those who evade tax, profit from the drug trade or engage in terrorist financing. […]

State relief payments can be excluded

Earlier this year, the IRS provided clarification on the federal tax status of special payments made by 21 states in 2022 that were mainly related to the pandemic. In a nutshell, qualified taxpayers in these 21 states aren’t required to include in income their state or local relief payments because the payments were made for […]

Update on depreciating business assets

The Tax Cuts and Jobs Act liberalized the rules for depreciating business assets. However, the amounts change every year due to inflation adjustments. And due to high inflation, the adjustments for 2023 were big. Here are the numbers that small business owners need to know. Section 179 deductions For qualifying assets placed in service in […]

Debt forgiveness may cause taxation

Debt forgiveness may result in taxes owed. Under federal tax law, gross income generally includes cancellation of debt (COD) income when a lender forgives all or part of a debt. One taxpayer was the sole member of a limited liability company (LLC) that defaulted on a bank line of credit. The bank filed a Form […]

Lose documents in a disaster?

How do you replace important documents after a natural disaster? If your personal and financial records have been destroyed, you may need to replace them quickly to receive federal assistance, file insurance claims and for tax purposes. Transcripts of filed tax returns can be obtained for free using “Get Transcript” on IRS.gov or by calling […]

Financial statements at a glance

Financial statements tell investors information about an organization’s financial performance, helping to ensure corporate transparency and accountability. But they can also be used internally to help management make strategic decisions, improve upon past results and add value. There are three parts to comprehensive financial reporting under U.S. Generally Accepted Accounting Principles (GAAP) — each with […]

IRS issues fraud alert

Some victims of recent natural disasters have lost their homes, vehicles and even their loved ones. But that doesn’t seem to stop fraudsters from kicking them while they’re down. The IRS warns disaster survivors to be wary of bad actors claiming to work for the government, particularly if they offer to help obtain tax refunds […]

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