Do you qualify for a home office?

If you work from home, you may wonder if your workspace qualifies for a home office tax deduction. To qualify for the deduction, there are specific requirements you must meet. For example, if you’re an employee and your employer requires you to work remotely, your home office currently doesn’t qualify. If you’re self-employed, to qualify, […]

IRS issues automatic payments for Recovery Rebate Credit from 2021

The IRS announced plans to issue automatic payments to eligible taxpayers who didn’t claim the Recovery Rebate Credit on their 2021 tax returns. IRS data showed that many taxpayers filed a return but didn’t claim the credit. The Recovery Rebate Credit is a refundable credit for taxpayers who didn’t receive one or more Economic Impact […]

Did you get Married in 2024?

Did you or someone you know get married in 2024? The IRS has provided a checklist to help newlyweds avoid mistakes that could cost them at tax time. How you file depends on your marital status on Dec. 31. The married-filing-jointly status is typically the most beneficial for married couples. Still, taking a what-if look […]

2025 Mileage Rates

The IRS has issued the 2025 cents-per-mile rates that can be used to calculate tax-deductible vehicle operating costs. Effective Jan. 1, 2025, the standard mileage rate for the business use of a car, van, pickup truck or panel truck is 70 cents per mile. (This is up from 67 cents per mile for 2024.) The […]

Gift Tax Exclusion begins anew for 2025

Wealthy taxpayers can reduce the size of their taxable estates by giving strategic holiday gifts to family members. For example, under the annual gift tax exclusion, you can give up to $18,000 ($36,000 from married couples) per recipient in 2024, with no federal tax implications. Such gifts don’t deplete your lifetime gift and estate tax […]

The Charitable Act

The Charitable Giving Coalition (CGC) has formally asked the U.S. House Ways and Means Committee and Senate Finance Committee to pass the bipartisan Charitable Act. The Tax Cuts and Jobs Act made many taxpayers ineligible to deduct charitable contributions because they must itemize to claim the deduction. The result: widespread declines in donations to charity […]

Happy New Year

“Write it on your heart that every day is the best day in the year.” —Ralph Waldo Emerson Wishing you a safe & happy New Year!

Final Regulations for Premium Tax Credit Issued

The IRS has issued final regulations that modify the definition of a “coverage month” for purposes of calculating the premium tax credit (PTC). The credit helps eligible individuals cover their premiums for health insurance purchased through the Health Insurance Marketplace. The regs clarify that a month qualifies as a coverage month if the amount of […]

BOI filings under injunction again

Beneficial ownership information (BOI) reporting requirements under the Corporate Transparency Act have been suspended nationwide in a federal court ruling. The case is currently under appeal, and a future ruling could lift the injunction. Affected businesses can voluntarily submit BOI reports, according to the Financial Crimes Enforcement Network (FinCEN). To that end, FinCEN’s system for […]

Last minute tax break?

Can you claim the American Opportunity Tax Credit (AOTC) or Lifetime Learning Credit (LLC) for tuition expenses? If eligible, you may secure a last-minute tax break for 2024 if you pay these expenses by December 31. This is true even if the academic period begins in 2025, but no later than the end of March […]