To Our Valued Clients: With the recently enacted American Rescue Plan, there were changes made to the child tax credit that may benefit many taxpayers, most notably: The amount has increased for certain taxpayersThe credit is fully refundableThe credit may be partially received in monthly
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Business Deductions Update
For tax years 2021 and 2022, business meals purchased from or consumed in a restaurant have a temporary deduction of 100% (the regulations call for a 50% deduction for business meals). The following chart provides a snapshot of allowable business deductions: Amount deductible for Tax years
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Like-Kind Exchange Of Property
With a properly constructed Section 1031 transaction, you sell your old property, buy the replacement property, and pay no taxes. The IRS Code Section 1.1031 states that no gain or loss is recognized if property held for productive use in a trade or business or for investment is exchanged solely for
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Tax Day for individuals extended to May 17: Treasury, IRS extend filing and payment deadline
WASHINGTON — The Treasury Department and Internal Revenue Service announced the federal income tax filing due date for individuals for the 2020 tax year will be automatically extended from April 15, 2021, to May 17, 2021. The IRS will be providing formal guidance in the coming days. “This continues to
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Congress Passes $1.9 Trillion Covid Relief Package Loaded with Tax Provisions
On Wednesday, March 10, the House of Representatives, by a party-line vote of 220-211, passed the Senate's version of the American Rescue Plan Act (the Act) that had been narrowly approved on Saturday, by a 50-49 vote. The House accepted the Senate's version of the Act without change and President Biden
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Treasury and IRS begin delivering second round of Economic Impact Payments to millions of Americans
WASHINGTON – Today, the Internal Revenue Service and the Treasury Department will begin delivering a second round of Economic Impact Payments as part of the Coronavirus Response and Relief Supplemental Appropriations Act of 2021 to millions of Americans who received the first round of payments earlier
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Offers in Compromise Enable Taxpayers to Settle Tax Debt for Less than They Owe – Qualifying Can Be Difficult
The Internal Revenue Service (IRS) has a program that allows taxpayers to settle their tax debts for less than they owe. This program is called Offers in Compromise. It may be a legitimate option if a taxpayer cannot pay their full tax liability, or doing so creates a financial hardship. There are
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Installment Agreements Offer an Alternative to Bankruptcy
If you do not want to file for bankruptcy, consider working with your accounting professional to set up an Installment Agreement. This is an agreement between the taxpayer and the IRS to allow you to pay your back-tax liabilities in monthly payments, over an extended timeframe. The IRS usually utilizes
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Bankruptcy Basics You Need to Know
Are you considering bankruptcy but aren’t sure which form would be best for your financial situation? This post walks you through the basics of bankruptcy so you can make an informed decision about your next steps. According to FindLaw, “Bankruptcy is a generalized term for a federal court procedure
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