When You Can’t Pay Your Federal Taxes
It’s hard to get taxes right, but what if you’re surprised with a shockingly high federal tax bill you didn’t know you owed? The IRS offers some options, but if it’s a significant amount, turn to a CPA for help. More than half of U.S. taxpayers know that they pay an inaccurate amount of taxes […]
Cash Payments Can Trigger IRS Trouble
What do $600, $5,000, and $10,000 have in common? They’re specific payment amounts to a person or business that can trigger IRS reporting requirements. Ignore those triggers, and someone (either the payee or the recipient, depending on the trigger) could face steep penalties or even criminal charges. The $600 Trigger This Form 1099 reporting threshold […]
Partnerships Are a Tricky Business
Small business ownership can be daunting when you’re alone at the top. That’s why many entrepreneurs consider forming their businesses as equal partnerships between two or more owners. However, these business structures can be uniquely affected by relationships, taxes, and other factors. An equal partnership can be a great idea until it isn’t. Perhaps the […]
When Did Your Employees Last Update Withholding?
Did you or your employees receive a surprising tax bill last year? The new W-4 that was released in December 2019 could be the cause. Additional factors this year could exacerbate the problem. Only about 1 in 4 American taxpayers updated their withholding when the IRS released the new W-4 in 2019. Going back another […]
It’s Time to Tell the IRS About Your Crypto
Cryptocurrency went from being largely unregulated and untaxed to being one of the most closely watched taxable activities practically overnight. Have you dabbled in it? By now, 16% of Americans have invested in, traded, or used cryptocurrency. It was huge in 2021—and even with its volatility, if you held investments in it, you likely made […]
Supply Chain Hiccups & Your Tax Bill
How about that supply chain? With continued hiccups, businesses that are otherwise rebounding quite well are finding themselves in surprising binds. If you’re among them, you’ve likely had to pivot more than usual to get your products and services to your customers. Some of those pivots have hidden costs, and others come with unexpected tax […]
It’s Time to Start Preparing Your Taxes!
Yes, it’s already time to prepare for tax season! It’s always best not to wait until the last minute to get organized. Even the IRS is gearing up earlier than usual—announcing a Jan. 24 start to tax filing season. The IRS anticipates extended delays and even worse than usual “customer service” this tax season. Plus, […]
IRS Lessons from Charlie Sheen, Prince, and Chris Tucker
Prince’s estate just cleared a big hurdle, Charlie Sheen recently sued the IRS in a last-ditch effort to keep his earnings, and Chris Tucker got hit with a new blow from the IRS after an already 20-year tussle. Let’s look at some of these famous tax battles and how they may hold lessons for the […]
Tax Hikes & Opportunities Expected in 2022
Will taxes change in 2022? By how much? The answers are still up in the air—especially as a final decision on President Biden’s Build Back Better bill looks like it’ll be pushed to the New Year. Here’s a list of tax changes we know are happening and others you’ll want to keep an eye on […]
Charitable Giving With Donor-Advised Funds (DAFs)
Donor-Advised Funds (DAFs) have catapulted in popularity. If you’re still unsure what they are but give generously to charitable organizations, it’s time to understand their immense tax-saving potential. The National Philanthropic Trust reports an increase across the board for DAF activity in 2021. Grants from DAFs to qualified charities increased 27% compared to 2019, and […]