Category: Tax Planning

Requested an Extension? Avoid Last-Minute Filing Did you request an extension to file your tax return after the standard April 18, 2023, deadline? If so, you now have until Oct. 16 to prepare and file it with the IRS. Don’t wait until the last minute! As soon as possible, gather your records for the 2022 tax year […]

Are you considering inviting an employee or an outsider to participate in your existing partnership? Before making any commitments, it’s important for you and the prospective partner to understand the potential federal tax implications. Important: A limited liability company (LLC) with multiple members (owners) is classified as a partnership for federal income tax purposes — unless you […]

The Complex Rules Surrounding Mortgages and Taxes The home mortgage interest deduction is as American as apple pie, but since 2017 when the tax law for this deduction was passed, there have been some changes. For starters, and most notably, the maximum mortgage principal that made homeowners eligible for the interest deduction has been lowered. […]

Under IRS and Department of Labor rules, employers whose 401(k) plans have over 120 eligible participants on the first day of the plan year must hire an Independent Qualified Public Accountant (IQPA) to audit the plan for that year. (This is part of the so-called 80-120 rule, which governs plans with between 80 and 120 […]

Tax planning is a 12-month activity. It’s not something you try to fix fast as Dec. 31 approaches or a task to panic about right before April 15. Below are some items you can address throughout the year, in conjunction with your tax adviser. Personal tax issues Delay taxation where appropriate. The individual income tax rates […]

The step-up tax adjustment has been under siege for decades but has so far survived the onslaughts. The provision, which reduces capital gains tax for estates, has been controversial since the 1970s. Policymakers would still love to get their hands on the bonanza in tax revenues it represents. There is a counterargument: If the law […]

When you hire someone to work for you, the worker will likely be considered either an employee or an independent contractor. Usually, you will decide whether you want to onboard an employee or simply hire a contractor prior to advertising for the available position. That way, whoever comes across your job post will know whether […]

If you find yourself in a position where you recently inherited an IRA, you might feel as though you’re at a crossroads filled with many planning tasks pertaining to estates, finances and taxes. According to IRS regulations instituted in 2022, the majority of beneficiaries who inherit IRAs must withdraw their portion of the IRA’s total […]

There are two big tax benefits you get when owning a home: You can deduct the mortgage interest that you pay each year and you can deduct at least a portion of your property taxes. Mortgage interest deduction: The most valuable tax benefit is the mortgage interest deduction. This perk allows you to deduct the interest […]

Trusts are used in estate planning to transfer assets to beneficiaries. Trusts have some advantages over wills, including skipping probate. That’s pretty basic. But it gets complicated when you try to figure out which type is right for you. Know the options available to help you make an informed decision. Living trust. You create it when […]