IRS Allows Exceptions for Missed Retirement Account Rollover Deadlines

You may know about the 60-day window for making tax-free rollovers of funds withdrawn from your IRA or other tax-favored retirement account. Here are a couple of things you might not know about the deadline: The 60-day period begins the day after you receive funds from the account in question. That can be a beneficial […]

10 Simple (and Fun) Ways to Cut Taxes This Summer

It’s already starting to feel like summer in many parts of the country. But the forecast for Washington remains unclear as officials continue to discuss various tax-related issues. No matter what happens in Washington, don’t get stuck in a holding pattern yourself. Give some attention to business and personal tax planning this summer. Here are […]

Tax Implications of Your Fringe Benefits

The IRS has issued an Information Letter that explains the tax treatment of an employer who provided parking to employees in an unconventional way. In the arrangement, the employer purchased parking spots from a parking vendor and then allowed employees who wanted to use the parking spots to pay the employer for them using the […]

The Ins and Outs of Deducting Legal Expenses

Legal expenses incurred by individuals are typically not currently deductible under the federal income tax rules. Instead, they’re most often treated as either personal outlays (which are nondeductible) or as part of the cost of acquiring an asset, such as real estate. When Can You Claim a Nonbusiness Deduction for Legal Expenses? As stated in […]

Spring Cleaning: When Can You Purge Your Old Financial Records?

Feeling the urge to purge? April 18, 2017, was the deadline for individuals and C corporations to file their federal income tax returns for 2016 (or to file for an extension). Before you clear your filing cabinets of old financial records, however, it’s important to make sure you won’t be caught empty-handed if an IRS […]

Trump’s Tax Plan Proposes to Slash Corporate Taxes and Eliminate Deductions

Donald Trump’s administration has rolled out a tax plan that proposes to slash corporate taxes, tweak personal tax rates, and eliminate most deductions used by wealthier Americans. The proposal laid out Wednesday did not include a large number of key details, but here are the key points of the plan as it was released.

Employee or Independent Contractor? Classify Workers Correctly

The IRS has publicly stated it is cracking down on organizations that improperly classify workers as independent contractors instead of employees. Are you confident that your employee classifications would stand up to IRS scrutiny? Understand the Requirements If a worker is an employee, your not-for-profit organization must provide a Form W-2 annually and withhold income […]

Establishing Residency for State Tax Purposes

Have you been contemplating moving to another state with lower taxes? Your move could lower your state tax bill, but you want to make sure to establish that the new state is your place of legal residency (also known as your “domicile”) for state tax purposes. Otherwise, the old state could come after you for […]

Recent Developments May Affect Passive Investors with Losses

Do you materially participate in a business or rental activity — or are you just a passive investor who isn’t directly involved in a project’s day-to-day operations? The IRS has prescribed seven tests to help individuals classify income, gains and losses from activities as passive or nonpassive. (See “PAL Basics” below.) PAL Basics The IRS […]

Some Taxpayers Get Extensions without Asking

Even though April 18 is the tax-filing deadline for most people, some taxpayers in special situations qualify for more time without having to ask for it. Taxpayers in Presidentially-declared disaster areas, members of the military serving in a combat zone and Americans living and working abroad get extra time to both file their returns and […]