Early IRA Distributions are generally subject to a 10% penalty in addition to normal income tax. Plus the move up in tax brackets may affect deductions and credits.
The tax deadline to file and pay taxes has been extended to July 15th.
IR-2020-61, March 30, 2020
The Treasury Department and the Internal Revenue Service today announced that distribution of economic impact payments will begin in the next three weeks and will be distributed automatically, with no action required for most people. However, some seniors and others who typically do not file returns will need to submit a simple tax return to receive the stimulus payment.
Dear Clients,
Our team is now working from home until the Illinois stay-at-home order is lifted.
We are still able to provide our services over the phone and online...
Last year, many taxpayers experienced paying unexpected tax bill due to having too little tax withheld. It was because the old W-4 form was no long applicable to compute the correct withholding after the Tax Cuts and Jobs Act (TCJA) was enacted in late December 2017.
To stay up to date with current tax law and procedures, our team will attend the 2019 IRS Nationwide Tax Forum from Tuesday, 7/23, through Thursday, 7/25...
Don’t worry if you receive a letters the IRS sends to taxpayers every year, but don’t ignore it either! IRS letters typically are about a specific issue on your federal tax return or tax account and include specific instructions on what you need to do to respond.
Generally, the IRS sends a letter if:
- you owe additional tax
- you are due a larger refund
- the IRS is requesting payment or needs additional information about your return.
In addition to lowering the tax rates, some of the changes in the law that affect you and your family include increasing the standard deduction, suspending personal exemptions, increasing the child tax credit, and limiting or discontinuing certain deductions.
Early IRA Distributions are generally subject to a 10% penalty in addition to normal income tax. Plus the move up in tax brackets may affect deductions and credits.
There are various tax credits for post-secondary education expenses. The American Opportunity Credit is available to taxpayers who incur tuition expenses for the first 4 years of qualified post-secondary education for themselves, their spouse, or their dependents.
The fastest way to depreciate your business’s fixed assets is by use to the Section 179 election. Section 179 property is tangible personal property used in the active conduct of your trade or business.
Over the last few years individuals who have had debt forgiven, have been receiving 1099’s for the amount of debt canceled, which is generally considered to be taxable income.