Arkansas Storm tax relief

Tax relief has been granted to victims of recent severe storms and tornadoes in Arkansas. Following a disaster declaration by the Federal Emergency Management Agency, the IRS announced that residents and businesses in Cross, Lonoke and Pulaski counties are eligible for extensions. They have until July 31, 2023, to file tax returns and make tax […]

IRS guidance issued to address energy tax credits

What’s an “energy community”? Recent IRS guidance addresses the topic as it relates to certain tax credits made possible by the Inflation Reduction Act (IRA). The IRA specifies three categories of energy communities: brownfield sites, coal communities and certain statistical areas identified based on tax revenues and unemployment rates. Those sites that meet the requirements […]

Happy Easter

Jesus said to her, “I am the resurrection and the life. The one who believes in me will live, even though they die; and whoever lives by believing in me will never die. Do you believe this?” -John 11:25-26 Wishing you a happy and blessed Easter. He is risen! …

New IRS reporting on gig work

You can’t hide side hustles from the IRS anymore – here’s what taxpayers need to know about reporting online payments for gig work – The Conversation Indonesia https://bit.ly/3zFFk7B

IRS Commissioner to release strategic plan

The wait is almost over: New IRS Commissioner Danny Werfel has promised to release a strategic operating plan this week for the nearly $80 billion allocated to the IRS by the Inflation Reduction Act. At his swearing-in ceremony, Werfel previewed several plan items he expects will improve customer service and return processing, reduce errors and […]

How will the IRS contact you?

If the IRS needs to initiate an in-person contact with you, it generally follows a three-step process. The agency typically makes first contact using regular mail delivered by the U.S. Postal Service. The IRS will mail multiple letters, for example, to remind a taxpayer of an overdue tax bill or an unfiled tax return. If […]

5 tax tips for older adults

5 tax tips for older adults – The Hill https://bit.ly/3KH7zcw

Social Security wage base increases

For 2023, the Social Security wage base notably increased by $13,200, to $160,200. (Wages and self-employment income above the threshold aren’t subject to the 6.2% Social Security tax.) For 2024, the Social Security Administration’s Office of the Chief Actuary (OCA) is projecting that the wage base will increase by $7,500, to $167,700. Note that actual […]

IRS issues proposed regs for clean vehicle tax credit

The IRS has issued proposed regs for the new clean vehicle tax credit, which was part of the Inflation Reduction Act. The maximum credit is $7,500 per vehicle placed in service on or after April 18, 2023. A vehicle that meets the requirements for critical materials may qualify for a $3,750 credit. A vehicle that […]

Is my mileage deductible?

Business owners can generally deduct ordinary and necessary costs of doing business, if they prove the costs are legitimate. One married couple owned an engineering firm. Among other tax issues, for two tax years, they claimed depreciation of $76,264 on three vehicles, but didn’t provide required details including each vehicle’s ownership, cost and useful life. […]