There are usually some new twists and turns to the current tax return rules for individuals, but this year is especially tricky due to recent legislation. Following are six potential items to watch out for on 2021 returns. 1 Charitable donations: Normally, you can deduct monetary contributions made to qualified charitable organizations only if you [...]
The tax threshold for deducting medical expenses is written in stone…finally. After several years in which the medical deduction threshold jumped back and forth between 7.5% of adjusted gross income (AGI) and 10% of AGI, Congress settled the issue once and for all in the Consolidated Appropriations Act (CAA). Effective as of 2021, the CAA [...]
Do you travel in your vehicle on behalf of a qualified charitable organization? In lieu of keeping track of your actual expenses, you may use a standard mileage rate of 14 cents per mile, plus related tolls and parking fees, to arrive at the deduction. Unlike the IRS-approved standard mileage rates for business reasons, job-related [...]
Did you know about all of the electronic offerings associated with your tax return filing? Bank account direct deposit for refunds and direct draft for payments What is it? The quickest and safest way to receive your refund or make your tax payment associated with most federal and state tax returns How do I [...]
It is no longer unusual to have a spouse, children and grandchildren from a second or third marriage encompass a “blended family.” But these additions to the clan can complicate estate planning. Keeping that in mind, the following techniques may be beneficial for blended families: Will: Your will is the centerpiece of your estate plan [...]
New Year’s resolutions are not just for individuals. Now is a good time for small business owners to take stock of their situation and vow to “do better” during the upcoming year. What sort of resolutions should you be making? The list will vary among business owners, but here are seven common ideas to [...]
Should you add to your charitable donations before the end of the year? From a tax perspective, it generally depends on whether you expect to itemize deductions this year or if you will be claiming the standard deduction. All other things being equal, it makes sense to “bunch” donations in the tax year it [...]
Tax breaks seem to come and go, but one of the biggest and best “tax shelters” around is still standing. Thanks to Section 121 of the tax code, a taxpayer can exclude from federal income tax up to $250,000 of gain from the sale of a home—$500,000 if you are married and file a joint [...]
The reach of the electronic age seems to know no bounds, but we are still figuring out some of the fall-out. For example, consider the estate planning consequences when you leave online accounts and files when you pass away, not to mention passwords that have not been disclosed to others. In this day and [...]
Tax season is right around the corner, so we want you to be prepared. As we typically do, we have created this year-end tax planning letter to assist you with certain tips that you should consider before December 31st. This is the time to reassess your overall tax picture for 2021 so you can [...]