Big Tax Changes To Know for 2023

Alert: A Massive New FinCEN Filing Requirement Is Coming The Corporate Transparency Act (CTA) is a new law passed in 2021 that requires corporations, LLCs, and other business entities to provide information about their owners to the Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN). The CTA did not take effect immediately. Rather, Congress […]

$80 Billion to the IRS: What It Means for You

For the business owner and tax practitioner, the most important part of the Inflation Reduction Act of 2022 was not the tax credit for flashy new electric cars. It was something much more basic: a long-term budget commitment to help the struggling, failing IRS. The Inflation Reduction Act invests an additional $80 billion in the […]

Update 105-HRAs, MSAs, and FSAs to Allow Over-the- Counter Drugs

Here’s good news. The CARES Act reinstated the ability of health reimbursement arrangements (HRAs) to reimburse and deduct the cost of over-the-counter drugs and added a new deduction for menstrual care products. The changes apply retroactively (yes, retroactively) to amounts paid after December 31, 2019. Business Wins As you likely know, individual taxpayers who itemize […]

More on Earning 9.62 Percent Tax-Deferred

You may remember from last month’s article that you can buy from now through October 31, 2022, Series I bonds from the U.S Treasury that pay 9.62 percent tax-deferred interest. If you buy now, you earn that 9.62 percent for six months, guaranteed. At the end of six months, the Treasury Department adds the interest […]

Self-Employment: Quick and Dirty Guide to Tax Issues and Savings

Are you considering joining the Great Resignation and becoming self-employed to be in charge of yourself? Yes? Okay, but before leaping, consider the tax implications. This self-employment thing may not be as rosy as it appears. Here’s the big picture. Don’t Believe the Hype Despite what some may believe, becoming self-employed won’t allow you to […]

When Your Income Is Subject to Self-Employment Taxes

Self-employment taxes are to individual business owners what payroll taxesare to employers and employees. They fund Social Security and Medicare. All individuals with self-employment income must pay self-employmenttaxes, regardless of their age. When business owners reach retirement age,they’ll be able to collect Social Security and Medicare A (hospital insurance)benefits if they paid self-employment taxes for […]

Alert: A Massive New FinCEN Filing Requirement Is Coming

Do you own a corporation, limited liability company (LLC), limited partnership, limited liability partnership, limited liability limited partnership, or business trust? Or are you planning to form one of these entities? If so, be alert. There’s a new federal filing requirement coming. Back in 2021, Congress passed a new law called the Corporate Transparency Act […]

IRS increases mileage rate for remainder of 2022

WASHINGTON — The Internal Revenue Service today announced an increase in the optional standard mileage rate for the final 6 months of 2022. Taxpayers may use the optional standard mileage rates to calculate the deductible costs of operating an automobile for business and certain other purposes. For the final 6 months of 2022, the standard […]