2023 auto depreciation limits released

A recent IRS revenue procedure provides the depreciation limits for passenger automobiles (including trucks and vans) placed into service in 2023. For vehicles acquired after Sept. 27, 2017, and subject to bonus depreciation, depreciation limits are $20,200 for year one, $19,500 for year two, $11,700 for year three and $6,960 for each year after that. […]

Legislation to change property loss deduction rules introduced

Proposed legislation in the U.S. House would, if enacted, restore the tax deduction for certain property and casualty losses that the Tax Cuts and Jobs Act eliminated through 2025. Julia Brownley (D-CA) introduced the Protecting Homeowners from Disaster Act on Jan. 12, 2023. It would enable uninsured disaster victims to deduct losses even if those […]

Alabama and Georgia granted tax relief

Victims of recent storms in parts of Alabama and Georgia have been granted tax relief, the IRS announced. Relief is available to those who live or have a business in the disaster area, giving them until May 15, 2023, to file various individual and business tax returns and make tax payments. Also extended are the […]

What to know before filing your 2022 tax return in Illinois, Missouri

What to know before filing your 2022 tax return in Illinois, Missouri – KSDK.com https://bit.ly/3WyZ0mP

Income exclusion rules

An employee may be able to exclude from income the value of lodging provided by an employer if certain conditions are met. The lodging must be “furnished on the business premises” and be “for the convenience of the employer.” Plus, the employee must be required to accept the lodging as a condition of employment. In […]

IRS improvements planned for 2023 filing season

The IRS plans to add to its digital capabilities and flesh out its tax assistance services this filing season, according to Ken Corbin, commissioner of the tax agency’s Wage and Investment Division. Corbin recently explained how this filing season will be noticeably different than from years past. He said that the IRS is expanding online […]

New IRA Lets You Take IRA Withdrawals Later

New IRA Lets You Take IRA Withdrawals Later – AARP https://bit.ly/3kJtJA8

Burden of proof for deductions

Business owners can generally deduct the ordinary and necessary costs to conduct business. However, the burden to prove the deductions are legitimate is on the taxpayer. In one case, a married couple wholly owned a software development S corporation. The U.S. Tax Court disallowed many deductions they claimed over multiple years. The couple provided a […]

GAO recommends changes to reporting on top IRS reported tax scams

Can you spot an abusive tax scheme? The IRS is currently aware of over 40 types of tax schemes marketed by promoters. These schemes help taxpayers illegally dodge the taxes they owe, causing the “tax gap” to widen. According to a report by the Government Accountability Office (GAO), the IRS needs to make it easier […]

Filing deadline approaching

Reminder: Employers and other businesses must file certain 2022 wage statements soon. Employers must file their copies of Form W-2, Wage and Tax Statement and Form W-3, Transmittal of Wage and Tax Statements with the Social Security Administration by Jan. 31, 2023. The Jan. 31 deadline also applies to Form 1099-NEC, Nonemployee Compensation, which is […]