Category: Tax
What to do when an IRS notice shows up in your mailbox
In the course of a typical person’s lifetime, they likely have very little interaction with the IRS. However, it is possible to receive a legitimate written piece of correspondence from the IRS. What next? The most important response is to...
Insurance proceeds for rent loss are not subject to sales tax in Florida
Due to the numerous hurricane-related loss claims in recent years in Florida, there has been uncertainty regarding whether insurance claim proceeds for lost rent on commercial rental properties should be included in your monthly Sales and Use Tax Return (Form...
Do you have a hobby or a business? The IRS will want to know…
From gardening to crafting and all things in between, people pursue a wide array of hobbies which are unlikely to generate income. However, for those hobbies that do earn money, individuals need to understand their obligation to report it on...
Appraisal requirement may cause some to rethink charitable donation of cryptocurrency
In January 2023, the IRS announced that taxpayers will not be eligible for a charitable contribution deduction if they donate digital assets valued over $5,000 without obtaining a qualified appraisal. Despite digital assets potentially having a value listed on exchanges...
Department of Defense offers free tax filing resources for military members
Active military service can pose challenges during tax filing, especially for deployed or intensely training service members. The MilTax program, administered by the Department of Defense, aims to alleviate these challenges by providing free tax return preparation and e-filing software...
Tax benefits (and pitfalls) of hiring your minor children as a small business owner
School breaks present an opportune time to involve minor children in your small business. As long as they perform legitimate work for your enterprise, hiring your child allows you to pay them up to $12,000 annually tax-free, while also claiming...
Corporate Transparency Act reporting requirements coming in 2024
A new law intended to help prevent and combat money laundering, terrorist financing, corruption, tax fraud, and other illicit activity will affect millions of American businesses when it goes into effect on January 1, 2024. Broadly speaking, new regulations created...
Tax issues when operating a business as a married couple
Operating one's own business offers the advantage of employing family members, but it's important to understand the specific employment tax requirements that apply to family employees, which can differ from those for other employees. Here are key considerations outlined by...
Law changes to IRS Code Section 174 create uncertainty around R&D deductions
The Tax Cuts and Jobs Act of 2017 introduced several amendments to the Internal Revenue Code, including a revision to Section 174. This section, originally established in 1954 to permit businesses to deduct expenses related to research and experimental activities,...
Inheritance or gifts from foreign persons may require Form 3520 reporting
While gifts or inheritances do not trigger U.S. income tax reporting, they can impose other filing obligations on the recipient. Regarding gifts and inheritances received from foreign individuals or entities by U.S. citizens or residents, Form 3520 (Annual Return to...