Adoption Tax Credit

If you’re considering adopting a child, you should know there may be financial help available in the form of an adoption tax credit. For 2023, the credit for an adoption of a special needs child is $15,950. The maximum credit allowed for other adoptions in 2023 will be the amount of qualified adoption expenses up […]

recreating tax records after a disaster

If important records are destroyed in a disaster or by some other means, you may need to recreate them. The IRS offers tips for reconstructing various records, some of which may be needed for insurance claims or possibly for federal assistance as you recover. To recreate financial statements, use past credit card and bank statements. […]

You may be liable for “nanny tax” for all types of domestic workers

You’ve probably heard of the “nanny tax.” But even if you don’t employ a nanny, it may apply to you. Hiring a house cleaner, gardener or other household employee (who isn’t an independent contractor) may make you liable for federal income and other taxes. You may also have state tax obligations. If you employ a […]

Time to perform a Withholding Checkup

With the end of the year just several weeks away are you sure you’re having the right amount of tax withheld? The IRS urges taxpayers to check their tax withholding while there’s time left. By making an adjustment now you may avoid a big surprise, such as a balance due when you file your tax […]

Happy Halloween

When black cats prowl and pumpkins shine, when shivery shivers run down your spine, when ghosts and goblins ring the chime, beware and be scared – it’s Halloween time! We wish you a safe, and scary, Halloween. Happy Halloween!

Boo! Consider a surprise audit to keep your accounting department on its toes

One of the best ways to tackle financial statement fraud is to conduct periodic surprise audits. In fact, surprise audits were associated with at least a 50% reduction in both median loss and median duration, according to Occupational Fraud 2022: A Report to the Nations published by the Association of Certified Fraud Examiners (ACFE) earlier […]

AMT guidance needed

Immediate guidance is needed regarding the financial reporting requirements of the new corporate alternative minimum tax (AMT) provisions mandated by the Inflation Reduction Act. That is what the American Institute of Certified Public Accountants (AICPA) told the IRS and Treasury officials in a letter. “Companies focused on financial statement reporting will face a challenge unless […]

TIGTA sees serious challenges for the IRS in 2023

The Treasury Inspector General for Tax Administration (TIGTA) foresees serious challenges for the IRS in 2023. In a memo to Treasury Secretary Janet Yellen, Inspector General J. Russell George emphasized the effect the Inflation Reduction Act will have on the IRS. The law includes $80 billion in agency funding and numerous tax provisions. “It will […]

2023 Inflation adjustments

Among the 2023 inflation adjustments just issued by the IRS are several that affect many higher-income taxpayers, including changes to the Alternative Minimum Tax (AMT). The AMT exemption amount is increasing to $81,300 for 2023 for unmarried individuals and begins to phase out at $578,150. The AMT exemption for joint filers will be $126,500 and […]

Providing fringe benefits to employees with no tax strings attached

Businesses can provide benefits to employees that don’t cost them much or anything at all. However, in some cases, employees may have to pay tax on the value of these benefits. Here are examples of two types of benefits which employees generally can exclude from income: A no-additional-cost benefit. This involves a service provided to […]