NY Storm Tax Relief

Few places suffered more from destructive storms during the 2022 holiday season than Erie and Genesee counties in New York. The IRS has announced tax relief for residents and businesses affected by the storm that began Dec. 23, 2022. They now have until April 18, 2023, to file quarterly excise and payroll tax returns that […]

Ransomware attacks are on the rise

Ransomware attacks are skyrocketing. In the first half of 2022, there were 236.1 million such attacks reported worldwide, according to Statista. In a recent audit, the Treasury Inspector General for Tax Administration (TIGTA) found that the IRS is doing a good job preventing ransomware attacks against the tax agency. The audit measured the effectiveness of […]

Secure 2.0 changes participation in pension plans for part-time employees

Are you a part-time worker who isn’t eligible to enroll in your company’s 401(k) plan. In the future, that may no longer be the case. The new SECURE 2.0 law lowers the hurdles for long-term, part-time employees to participate in 401(k) plans. Part-time employees will need to continue to work at least 500 hours before […]

Secure 2.0 makes changes for student loan debt payments

Employees paying student loan debt may benefit significantly from a provision of the new SECURE 2.0 law. Beginning after 2023, employers will be allowed to make matching contributions to 401(k) accounts (and certain other retirement plans) with respect to “qualified student loan payments.” This is true even for taxpayers who aren’t contributing to their own […]

Do you qualify for a clean vehicle tax credit?

Are you hoping to qualify for a clean vehicle tax credit? If so, there’s a new list of potentially eligible plug-in electric or fuel cell vehicles purchased after 2022. Manufacturers include Audi, Ford, Nissan, Rivian, Stellantis (Chrysler and Jeep), Tesla, Volkswagen and Volvo. Vehicles on the list don’t automatically qualify for the credit. They must […]

Secure 2.0 add new penalty exception for retirement withdrawals

SECURE 2.0 adds a new exception for taking penalty-free withdrawals from retirement accounts. The tax code imposes a 10% penalty on the taxable amount of withdrawals from accounts such as 401(k) plans and IRAs received before age 59½. There are several exceptions to the penalty. The new law adds an exception for distributions used for […]

Secure 2.0 makes changes to ABLE accounts

The new SECURE 2.0 law makes a favorable change to Achieving a Better Life Experience (ABLE) accounts, although it doesn’t kick in for a few years. Tax-exempt ABLE programs are established by states to help individuals with disabilities. Before the new law, in order to be the beneficiary of an ABLE account, an individual’s disability […]

IRS issues 2023 Mileage Rates

The IRS has issued the 2023 optional cents-per-mile rates used to calculate the tax deductible costs of operating a vehicle. Effective Jan. 1, 2023, the standard mileage rate for the business use of a car (including vans, pickups, and panel trucks) is 65.5 cents per mile. (This is up from 58.5 cents per mile for […]

Key tax and retirement provisions in the Secure 2.0 Act

Key tax and retirement provisions in the Secure 2.0 Act – Journal of Accountancy https://bit.ly/3GEWGWA

Secure 2.0 increases Small Business credit for retirement plan

SECURE 2.0 builds on the provisions of the original SECURE Act by addressing a wide array of areas that make major changes to retirement planning. To incentivize small businesses to establish retirement plans, the new law creates or enhances some tax credits. For example, it increases the startup credit from 50% to 100% of administrative […]