During Small Business Week (which ends Sept. 26), the IRS reminds business owners and self-employed individuals of COVID-19 related employer credits. One is the Employer Retention Credit, designed to help keep employees on the payroll. This refundable tax credit is 50% of wages paid by eligible employers impacted by the pandemic, up to $10,000. The … Read More
What happens if illness, injury or age-related dementia renders you unable to make decisions or communicate your wishes regarding your health care or financial affairs? Unless your estate plan addresses these situations, your family may be forced to seek a court-appointed guardian. Health care arrangements are particularly important because your wishes won’t necessarily coincide with … Read More
Government auditors find potential IRS violations in how taxes are collected. IRS collection activities are governed by the framework of the Fair Tax Collection Practices Act (FTCP). The Treasury Inspector General for Tax Administration (TIGTA) published its fiscal year 2020 statutory review, showing potential FTCP violations in FY 2019 that resulted in administrative action for … Read More
Whether it’s a smart phone, tablet or laptop, mobile devices have become the constant companions of today’s employees. And this relationship has only been further cemented by the COVID-19 pandemic, which has thousands working from home or other remote locations. From a productivity standpoint, this is a good thing. So many tasks that once kept … Read More
In an announcement, the IRS stated that lenders who make Paycheck Protection Program loans that are later forgiven under the CARES Act shouldn’t file Form 1099-C, “Cancellation of Debt” with the IRS or provide a payee statement to the eligible recipient as a result of the qualifying forgiveness. Filing such information returns with the IRS … Read More
The business use of websites is widespread. But surprisingly, the IRS hasn’t yet issued formal guidance on when Internet website costs can be deducted. Fortunately, established rules that generally apply to the deductibility of business costs, and IRS guidance that applies to software costs, provide business taxpayers launching a website with some guidance as to … Read More
The IRS has a paper problem, according to one report. The Treasury Inspector General for Tax Administration (TIGTA) report noted that the “IRS has difficulty locating and timely retrieving some paper tax records.” In 2019, 17.5 million paper tax returns were filed, plus, many IRS forms can’t be filed electronically, which means the IRS must … Read More
Collective impact initiatives are growing among not-for-profits. Such initiatives are about more than collaboration. They represent the commitment of a group of organizations to a common agenda for solving a specific social problem. This group can include the nonprofits themselves, government agencies, businesses and constituent communities. Should your nonprofit participate in collective impact? 5 requirements … Read More
IRS letter rulings can be accelerated if they’re related to COVID-19. The IRS announced that that taxpayers can request expedited handling of letter ruling requests if they have a compelling need related to the pandemic. Generally, the IRS processes letter ruling requests in the order that they’re received. An expedited handling request should be made … Read More
In some cases, investors have significant related expenses, such as the cost of subscriptions to financial periodicals and clerical expenses. Are they tax deductible? Under the Tax Cut and Jobs Act, these expenses aren’t deductible through 2025 if they’re considered expenses for the production of income. But they are deductible if they’re considered trade or … Read More