ERTC Voluntary Disclosure Program update

The IRS’s second Voluntary Disclosure Program for employers who claimed improper COVID-related credits ended Nov. 22. However, certain programs for businesses with Employee Retention Tax Credit (ERTC) claims that haven’t been processed remain open. The Claim Withdrawal Program is available for businesses that request the IRS not process ERTC claims that haven’t yet been paid. […]

Beware of Scams

Business owners who are preparing to file Beneficial Ownership Information (BOI) reports by Jan. 1, 2025, should be alert. The U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) is warning of scams designed to steal sensitive information by targeting BOI filers. Scammers may reference fake forms, such as “Form 4022” or “Form 5102,” or they […]

Feeling charitable?

If charitable giving is on your mind, consider a tax reduction strategy called “bunching.” Only donations to IRS-approved charities are deductible, and only if you itemize. However, itemizing is less common since the standard deduction nearly doubled (for 2018-2025, unless extended by Congress). Bunching may allow you to benefit from the standard and itemized deductions […]

SCOTUS declines to review bankruptcy case

The U.S. Supreme Court has declined to review a decision in which a taxpayer who filed for Chapter 7 bankruptcy sought to discharge his tax liabilities. According to the Bankruptcy Code, tax debts are dischargeable only if a debtor has filed a “return.” This taxpayer, however, didn’t file timely IRS returns for any of the […]

IRS update

Tax collection is one of the many government functions likely to be affected by the upcoming Republican “trifecta” (control of the presidency, U.S. Senate and U.S. House). The Inflation Reduction Act secured nearly $80 billion for the IRS to increase compliance rates, upgrade technology and make new hires through 2031. But Republicans have repeatedly called […]

Reminder – BOI reporting is due by January 1st

Many companies created or registered to do business before Jan. 1, 2024, must e-file their initial beneficial ownership information (BOI) reports by Jan. 1, 2025. This generally means reporting the names and other information about those who own or control the company. Exceptions and special rules apply. The report is filed with the U.S. Treasury […]

Lame-duck Session may address some minor tax bills

Republicans are set to take control of both chambers of Congress next January. The consensus on Capitol Hill is that there’s little chance of major tax legislation being passed until then. However, there may be an opportunity during the rest of the lame-duck session to consider minor tax bills. According to Eric LoPresti, tax counsel […]

Charitable Giving

With the holiday season kicked off, many are turning their thoughts to making charitable donations. Suppose you own or are a beneficiary of an IRA and you’re at least 70½ years old. In that case, you can make qualified charitable distributions (QCDs) of up to $105,000 in tax-free charitable donations during 2024. That’s up from […]

RMDs due by December 31st

Taxpayers born before 1951 need to take required minimum distributions (RMDs) by Dec. 31, to avoid penalties. RMDs are the mandatory withdrawals from many retirement plans and IRAs, including SIMPLE IRAs and SEPs. Roth IRAs aren’t subject to RMDs during the owners’ lifetimes. RMDs are taxable income and can incur penalties if not withdrawn on […]

A reminder to check your withholding

As we get closer to the end of the year, employees only have a few paychecks left for 2024. If you’re an employee who received a surprise tax bill – possibly with penalties – for the 2023 tax year, consider checking your withholding to ensure it’s sufficient. The IRS provides an online withholding estimator tool […]