IRS offers disaster penalty relief on dyed diesel fuel

Dyed diesel fuel is the primary fuel used in heavy construction and farming equipment, as well as off-road vehicles. These machines and vehicles are being used to help storm victims recover from Hurricane Helene. The IRS is offering penalty relief to any person that sells or uses dyed diesel fuel for highway use. Specifically, the […]

IRS announces plans to issue series of regulations related to clean energy tax provisions

The U.S. Dept. of Treasury and the IRS have announced plans to issue a series of final regulations related to certain clean energy tax provisions of the Inflation Reduction Act (IRA). The final regs will cover the Clean Electricity Production Credit (Sec. 45Y) and the Clean Electricity Investment Credit (Sec. 48E). The IRS issued proposed […]

Filing relief for Hurricane Helene victims

The IRS has announced disaster tax relief for individuals and businesses affected by Hurricane Helene. This covers the entire states of Alabama, Georgia, North Carolina and South Carolina, as well as parts of Florida, Tennessee and Virginia. In these areas, taxpayers now have until May 1, 2025, to file various federal individual and business tax […]

Is it Deductible?

Many Americans donate to IRS-approved nonprofit organizations they wish to support. If they itemize deductions at tax time, donors may also get a tax break. But if a nonprofit violates tax laws and rules, the IRS may revoke its tax-exempt status and remove it from the list of approved organizations. That means contributions to it […]

Due Date rolling up fast

For taxpayers who’ve obtained a filing extension for their 2023 federal income tax return, the extended deadline is rapidly approaching: Tuesday, Oct. 15. To be able to file by the deadline, you’ll need to gather Social Security numbers for everyone on your return; bank account and routing numbers for direct deposit; any Forms W-2 and […]

IRS Budget cut in the Appropriations Act

On Sept. 25, the U.S. House and Senate passed the Continuing Appropriations and Extensions Act, 2025 (H.R. 9747) to prevent a federal government shutdown without passing a final appropriations bill. Although H.R. 9747 doesn’t add new policy proposals, it includes a rescission of $20 billion in IRS funding from the original $80 billion allocated to […]

Ireland passes Bahamas to become Ninth most significant tax haven

Ireland has jumped into the top-10 ranking of global tax havens. According to the Tax Justice Network, which campaigns for tax transparency, the country has passed the Bahamas to become the ninth most significant tax haven. The British Virgin Islands, Cayman and Bermuda currently top the list. The Tax Justice Network uses a points-based ranking […]

Tax relief for farmers

The IRS is providing tax relief for farmers and ranchers forced to sell or exchange livestock because of drought conditions in 41 states and other areas. Specifically, farmers and ranchers may have additional time to replace their livestock and defer tax on any gains from forced sales or exchanges. The tax relief generally applies to […]

Considering solar panels? Let’s talk

With temperatures cooling in many parts of the country, homeowners may want to lower their utility bills (and score tax breaks) by installing solar panels. Use caution, says the National Taxpayer Advocate (NTA). While most solar panel salespeople are honest, some are feeding customers false info, such as stating that the time to claim the […]

Is it ordinary and necessary? Did you document it?

Business owners can generally deduct the ordinary and necessary costs of doing business, but failure to keep thorough records can be costly. Vehicle records must be detailed, contemporaneous and include a percentage of business use. One store owner claimed 100% of gas costs for three vehicles. But his records lacked detail, were based on estimates […]