From 2018 to 2025, the Tax Cuts and Jobs Act is offering a 20 percent deduction on pass-through business income, with specific eligibility criteria. This deduction impacts the choice of entity. For instance, should you operate as a sole proprietorship or an S corporation? The Importance of Reasonable Compensation When operating your business as an… Continue Reading
IRAs for Young Adults
As we navigate the complexities of financial planning, one opportunity stands out for young adults: individual retirement accounts (IRAs). Traditional and Roth IRAs: A Brief Overview Both traditional and Roth IRAs offer unique benefits, so the choice between them largely depends on your current financial situation and future expectations. For the 2023 tax year, you… Continue Reading
New Crypto Tax Reporting Rules Are Coming Soon
If you invest or trade in Bitcoin, non-fungible tokens (NFTs), Stablecoins, or other digital assets, prepare for sweeping new tax reporting requirements. Congress wants the IRS to crack down on taxpayers who buy and sell crypto but don’t report or pay tax on their gains. To do so, it wants people and companies that facilitate… Continue Reading
Just Some of the Many Tax Changes for the 2024 Tax Year
For 2024 it is difficult to track of what’s new and changed from last year, and there are lots of tax law changes and updates for 2024 that you need to know. To help, we put together a list of the most important tax law changes for 2024. Pay attention to these changes because they… Continue Reading
Get an Identity Protection PIN (IP PIN)
An Identity Protection PIN (IP PIN) is a six-digit number that prevents someone else from filing a tax return using your Social Security number or Individual Taxpayer Identification Number. The IP PIN is known only to you and the IRS. It helps us verify your identity when you file your electronic or paper tax return. … Continue Reading
Key Insights into Depreciation
Here are some crucial insights into depreciation, particularly regarding business or rental assets. When Does Depreciation Start? Technically, depreciation begins not when you use an asset but when it’s ready and available for its intended purpose. For instance: A rental property begins depreciating when it’s available to rent, even if it hasn’t been rented yet.… Continue Reading
New FinCen Filings Go into Effect on January 1
For existing businesses, the Corporate Transparency Act (CTA) goes into effect on January 1, 2024, and imposes a brand-new federal filing requirement on most corporations, limited liability companies, and limited partnerships and on certain other business entities. No later than December 31, 2024, all non-exempt business entities must file a beneficial owner information report (BOI… Continue Reading
A Little Appreciation Goes a Long Way!
In today’s digital society thank you cards have disappeared as have handwritten notes of appreciation, having been replaced by e-mails, or nothing at all. So many times, over the holidays I dealt with a cashier, or store employee that failed to say thank you when I made my purchase. Not a big deal, but I… Continue Reading
2024 Special Tax Season Edition
From the desk of James E. George Tax season is here! My staff and I recently met and discussed this upcoming tax season. We reviewed last year’s notes regarding what worked well and what we wanted to improve. We also read and discussed the responses we received to our last newsletter asking your feedback on… Continue Reading
Expect Lower Income Tax Refunds this Year!
From the desk of James E. George If you received a nice tax refund last year and are expecting another one this year, you may be in for a big surprise! The income tax laws have changed and many of the tax-saving, refund generating credits have gone away. Our congress has raised your tax bill… Continue Reading