On the cash basis and want to cut taxes?

Many small businesses use the cash basis of accounting, which means they record income when they receive it and generally deduct business expenses in the year they pay them. If your business follows this method, it might make sense to accelerate deductible expenses such as rent and insurance, paying them before year end. You might […]

Did you win at the Casino?

Did you play the slots or try your hand at roulette over the long Labor Day weekend? If you won anything, you should know that gambling winnings are taxable. This includes winnings from casinos, lotteries, sports betting sites, bingo and poker games. Casual (as opposed to professional) gamblers are required to report gambling winnings on […]

Are you subject to AMT tax?

Taxpayers who take advantage of certain tax breaks may be subject to the alternative minimum tax (AMT). The AMT was designed to ensure that high-income individuals pay a minimum amount of tax, regardless of the deductions, credits or exemptions they might claim if they weren’t subject to the AMT. Basically, your income tax is calculated […]

IRS reminds employers of educational assistance programs

Student loan assistance has been a hot topic of late. In response, the IRS is reminding employers that they can take advantage of educational assistance programs to help pay for their employees’ student loan obligations through Dec. 31, 2025. Traditionally, these programs have been used to pay for books, supplies, fees, tuition and other education […]

How Do Taxes Affect Interstate Migration?

How Do Taxes Affect Interstate Migration? https://bit.ly/3zcIzXF

Review your withholding and estimated tax Payments

Avoid tax surprises next year. As summer winds down, review your tax withholding or estimated payments so you can increase them if needed. Not paying enough taxes throughout the year can result in not only a bigger-than-expected tax bill next April 15, but also penalties. Taxpayers most vulnerable to surprise tax bills are gig workers […]

How confidential is your FTI?

Is your federal tax information (FTI) confidential? Federal tax law permits the IRS to share your FTI with other entities such as state and local tax agencies. Safeguards are in place against the misuse of the data, including required reporting and penalties for violations. Recently, the Treasury Inspector General for Tax Administration (TIGTA) looked at […]

What is ordinary and necessary?

If you’re a business owner, you may be able to deduct “ordinary and necessary” expenses related to keeping working animals. But the operative word here is “working,” for example, dogs that guard against illegal entry or cats that protect inventory from rodents. In general, such expenses as food, veterinary bills, pet insurance premiums and related […]

IRS reports advance in reducing paper filings

The IRS has reported a significant advance in reducing paper filings, part of its 10-year plan to improve service and upgrade technology. Its Document Upload Tool enables taxpayers to submit most documents electronically so long as they can provide their name; an access code or notice or letter number; and a Social Security or taxpayer […]

Living Overseas?

If you’re a U.S. citizen living or working abroad, you still must file a federal individual income tax return. Generally, IRS rules for filing income, estate and gift tax returns and paying estimated tax are the same for those residing abroad as for those in the United States. The United States taxes its citizens on […]