The IRS has updated tax figures for 2024 to match rising living costs. This includes changes to income tax brackets, standard deductions, and other tax-related amounts. 2024 Tax Brackets For 2024, the highest income tax bracket of 37% applies when taxable income hits: $731,200 for married individuals filing jointly and surviving spouses, $609,350 for single individuals …
The IRS has recently pulled back on its change requiring third-party settlement organizations (TPSOs) to report transactions exceeding $600 in 2023 rather than its current limit of transactions more than $20,000. Basically, for 2023, the IRS is giving these organizations more time to adapt to new 1099-K reporting rules introduced by the American Rescue Plan …
IRS Notice on Form 1099-K Reporting for 2023 Explained Read More »
The SECURE 2.0 Act of 2022 included some changes that are about to impact required minimum distribution (RMD) requirements. To explain the changes and reduce taxpayer confusion, below we explain the changes in the RMDs for certain retirement plans and individual retirement accounts (IRAs) included in IRS Notice 2023-54. What Changed? Change in RMD Age: …
The Internal Revenue Service (IRS) has issued detailed guidance on the clean vehicle credit for both new and used clean vehicles, which is important for manufacturers, dealers, sellers, and taxpayers to understand. What is – and What Qualifies for – the Electric Vehicle Tax Credit? It is a nonrefundable tax credit offered to taxpayers who …
If you own a business, we are sure you have also gotten emails, phone calls, and even texts from companies promising to help you to apply for – and receive – employee retention credits. While there are legitimate reasons for some businesses to apply, many companies fell for “too good to be true” offers of …
IRS Introduces Option to Withdraw Employee Retention Credit Claims Read More »
Remote work has convinced many of us that we can do our jobs regardless of where we are located. This new approach is making many think about moving to a new location to be closer to family, enjoy nicer weather or to save money. Additionally, many people facing retirement move to an area with a …
One of the odder portions of The Tax Cuts and Jobs Act temporarily doubled the federal gift and estate tax exemption through 2025. When adjusted for inflation, this exemption allows individuals to transfer up to $11.7 million in 2021 without paying any federal gift or estate tax (up from $11.58 million in 2020). Married couples can …
Some Clarification on the Temporary Gift Tax Break Read More »
Like most of us, you are probably more focused on your 2020 tax bill than how to manage your personal finances in 2021. However, as you get ready to file your annual tax filing, it’s a good idea to also think about changes that will impact your taxes for 2021. Not all tax figures are …
While it seems like ages ago, the Families First Coronavirus Response Act (FFRCA) was passed 10 months year ago, providing businesses incentives to retain their workforce through various tax relief measures. The Consolidations Appropriates Act passed on December 27, 2020 extended and expanded these incentives through various times in 2021. Here are a few of the relief …
Pandemic-Related Payroll and Self-Employment Tax Relief Explained Read More »
When the Tax Cuts and Jobs Act passed, it created a new tax credit for certain employers that provide paid family and medical leave that was originally only available for the 2018 and 2019 tax years. However, in December, it was extended through 2020 for eligible employers with a written policy providing at least two …
Family and Medical Leave Act Credit an Option For Your Business? Read More »
Generally speaking, the Tax Cuts and Jobs Act (TCJA) reduced individual tax rates through 2025, however, there’s no guarantee that you’ll have lower tax bill or a hefty refund this year. Some people are actually paying more taxes due to reductions or eliminations of certain tax breaks. For this reason, and many more, it’s important to …
Many people prefer to pass assets to their heirs during their lifetimes, to help family members, to reduce the size of their taxable estates, or simply to see their loved ones enjoy the gifts. If you are considering lifetime gifts, you need to know that the type of assets you give can produce substantially different …
The Importance of Tax Planning Before Making Gifts to Loved Ones Read More »