The Low-Income Communities Bonus Tax Credit Program – What is it?

The Low-Income Communities Bonus Tax Credit Program was established under the Inflation Reduction Act to drive clean-energy investments in low-income areas and on Indian lands. It’s seeing “robust demand,” according to the U.S. Dept. of the Treasury. The Sec. 48(e) bonus credit increases the Sec. 48 energy investment tax credit of 30% by 10% or […]

IRS reports on high-income collection activity

The IRS announced that its efforts to collect past-due taxes from certain “high-income, high-wealth” individuals has been fruitful. U.S. Treasury Secretary Janet Yellen stated that, with funds from the Inflation Reduction Act, the IRS has now collected nearly $1.3 billion in past-due taxes. The initial program began in the fall of 2023, collecting more than […]

What is an IP PIN?

Protection is key when guarding your personal and financial information from fraudsters. That’s why the IRS offers a vital tool, the Identity Protection Personal ID Number (IP PIN). The IP PIN is a six-digit number you can apply for voluntarily. It’s known only to you and the IRS. It’s valid for one year and you’ll […]

Results of a Survey Measuring Business Tax Compliance Costs

Results of a Survey Measuring Business Tax Compliance Costs https://bit.ly/3XQFLJv

IRS issues proposed regulations for the clean electricity communities tax credit

In an effort to encourage clean energy investment in certain areas, the Inflation Reduction Act created a clean electricity low-income communities bonus tax credit. The IRS has now issued proposed regulations for claiming it. This credit will be calculated by multiplying the amount of qualified investment made in a facility by an applicable percentage. To […]

TIGTA criticial of the IRS audit plan for taxpayer’s earning less than $400,000

In 2022, the U.S. Treasury Secretary directed the IRS not to use additional resources to audit taxpayers earning less than $400,000 a year. According to the Treasury Inspector General for Tax Administration (TIGTA), the IRS has yet to develop a solid methodology to prevent it from increasing audits on these taxpayers. Although the IRS has […]

QBI can reduce your tax bill

Are you a small business owner looking to reduce your 2024 tax bill? Thanks to the Tax Cuts and Jobs Act, owners of pass-through entities may be able to claim tax deductions based on their qualified business income (QBI) and certain other income. This deduction can be up to 20% of your QBI, subject to […]

Third quarter estimated tax payments due soon

If you’re a taxpayer who needs to make quarterly estimated tax payments, mark your calendar for Sept. 15. That’s the due date for the third estimated payment for 2024. You should generally make estimated tax payments if you have taxable income that isn’t subject to withholding and you expect to owe tax of at least […]

Are you affected by the business interest limitation?

Will your company be affected by the business interest tax deduction limitation in 2024? Generally, interest paid or accrued by a business is deductible up to 30% of adjusted taxable income (ATI). Taxpayers with average annual gross receipts that don’t exceed an applicable threshold for the three previous years are exempt from the interest deduction […]

Do you have an emergency preparedness plan?

September is National Preparedness Month. The IRS is reminding taxpayers to develop an emergency preparedness plan or, if they already have one, to update it for 2024. In light of recent extreme weather events, such as violent tornadoes and flash flooding, it’s in your best interest to have a plan. Key steps to take include […]