In a new IRS Fact Sheet (FS-2023-18, 8/8/23), the IRS has announced that it is close to going paperless. The IRS still receives about 76 million paper tax returns and forms and 125 million pieces of correspondence, notice responses and non-tax forms each year. It also has more than one billion historical documents, which costs [...]
We get a lot of questions throughout the year on common personal tax return questions, like what is and isn't deductible or home gain exclusions. If that sounds like you, we have the podcast for you. If you have questions about the Form 1040 aka the US Individual Income #tax return, then we have answers. [...]
Thanks to Alabama Act 2023-554 in the last legislative session, Alabama will start reducing the state’s portion of sales tax on food/groceries (“grocery tax”) on September 1, 2023 from 4% to 3%. In September 2024, the state’s portion will go from 3% to 2%, assuming the ETF grows by more than 3.5%. In total, that [...]
When you exchange real property used for business or held as an investment solely for other business or investment property that is the same type or “like-kind”, it is known as a like-kind exchange under United States tax law. It is also known as a 1031 exchange. The swap transactions, when structured properly, allows for [...]
First, Congress approved the Setting Every Community Up for Retirement Enhancement (SECURE) Act in 2019, affecting qualified retirement plans and IRAs. Now the president has signed into law “SECURE Act 2.0” as part of a spending measure. Following are several key provisions in this new legislation. RMD age threshold: Generally, participants in qualified plans and [...]
What is the NIIT? It sounds like some sort of federal agency or maybe a new form of artificial intelligence. But actually NIIT stands for “net investment income tax.” This tax generally applies to higher-income taxpayers, but it could easily sneak up on others if they are not careful. Background: The NIIT is equal to [...]
Interest rates have gone up over the last few years. Saving grace: You may be able to deduct interest expenses depending on the type of expense incurred. Notably, there are four main categories for tax purposes. Mortgage interest: Generally, you can deduct mortgage interest paid during the year. To qualify, you must be legally obligated [...]
If you have foreign income, foreign financial assets, or own foreign business interests, this is the podcast for you. Lauren and Viki discuss the most widely faced issues for US nationals who work outside the country and foreign nationals who are working in the States for an extended period of time. Those topics include [...]
We get this question a lot this time of year. Now! is almost always the answer. See this video response from shareholder Rachel Taylor: When should I bring my #tax information to you? #taxtwitter #loveyourCPA pic.twitter.com/hDoG4qwY6w — JamisonMoneyFarmer (@JMFCPAs) February 22, 2023
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 2022 so you can maximize the tax [...]