IRS Announces Updated 2027 HSA and HDHP Limits

If you’re covered by a high-deductible health plan (HDHP), you can contribute pretax income to a Health Savings Account (HSA). Funds can be withdrawn tax-free to pay qualified medical expenses. The IRS annually adjusts various HSA and HDHP limits for inflation. For 2027, the maximum HSA contribution amount will be $4,500 for individuals (vs. $4,400 […]

IRS Releases New Calculator for Long-Term Contract Reporting

The IRS has released a new calculator to help businesses with multi-year construction and manufacturing contracts. The Excel-based Percentage-of-Completion Method (PCM) Look-Back Interest Calculator is designed to help with completing Form 8697, “Interest Computation Under the Look-Back Method for Completed Long-Term Contracts” (https://bit.ly/4u9m6RM). While the calculator may simplify part of the process, it doesn’t guarantee […]

Teen Tip Earners May Qualify for a Valuable Tax Deduction

Many teens are starting summer jobs and may earn tips. Tips are a nice bonus because they’re extra cash before payday. They can also result in a tax deduction. Employees who earn tips from jobs like waiting tables, delivering food or other eligible occupations may be able to deduct up to $25,000 of qualified tips […]

When the IRS Incorrectly Flags You as Deceased: Next Steps to Take

Imagine getting locked out of your IRS tax account because the IRS incorrectly believes you’ve died. It’s rare, but it can happen due to processing errors or the Social Security Administration (SSA) sending incorrect information to the IRS. If you receive IRS Notice CP01H, “Tax Return Submitted with Locked Social Security Number (SSN),” verify you […]

Are NIL Contributions Tax-Deductible? Here’s What Donors Should Know

College student-athletes can now be legally paid for the use of their “name, image and likeness” (NIL) without risking NCAA eligibility. But if you support an athlete through NIL contributions, know that payments made directly to student-athletes aren’t tax-deductible. Contributions to organizations commonly called “collectives” may be deductible, but be sure to clear three key […]

Looking for Reliable Tax Updates? Start With Trusted Sources

Using social media platforms is a quick and easy way to glean tax-related information and advice. However, it can be difficult to gauge the accuracy of the information available online. Our firm is one source of trusted information. Another is the IRS. Consider following its official social media accounts (https://bit.ly/4dVN1KP ) and subscribing to its […]

New IRS “Trump Accounts” Now Available for Eligible Children

Taxpayers can now access their Section 530A accounts (also known as “Trump Accounts”) and submit and view the status of Form 4547, “Trump Account Election(s),” through their IRS individual online accounts. A Sec. 530A account can be set up for any U.S. citizen who’ll be under age 18 at the end of the tax year […]

Living Overseas? Don’t Miss the June 15 Tax Filing Deadline

Reminder for Americans living and working abroad: Your 2025 federal income tax return is due by June 15. Taxpayers whose tax home and main place of business are outside of the United States and Puerto Rico generally get an automatic two-month extension to file their return. But interest is charged on any tax that wasn’t […]

Considering a Summer Job After 65? Don’t Overlook the Tax Impact

Are you 65 or older and considering a seasonal or part-time job this summer? The extra income can be rewarding, but it may also change your tax picture. Individuals age 65 or older may qualify for a higher standard deduction, which could reduce taxes on modest earnings. But if you’re receiving Social Security benefits, additional […]

IRS Form 990 Changes Ahead: What Nonprofits Need to Know

Recently, the U.S. Treasury Dept. provided some details about the forthcoming revised IRS Form 990 (an information return used by tax-exempt organizations). Among other things, the new form will require clearer reporting on fiscal sponsorships. These occur when nonprofits provide an administrative umbrella for new charitable projects, sparing them the burden of immediately obtaining tax-exempt […]