Blog Archives

New Tax Law & Family Tax Credits

The Tax Cuts and Jobs Act (TCJA) doubled the maximum Child Tax Credit, boosted income limits to be able to claim the credit, and created a second smaller credit of up to $500 per dependent aimed at taxpayers supporting older

Posted in IRS

Collecting Sales Tax

On June 21, 2018 in South Dakota v. Wayfair, Inc. the U.S. Supreme struck down the physical presence standard to create state sales tax nexus and instead, established economic nexus as the new standard.  Physical presence is no longer the nexus

Posted in IRS

Meals and Entertainment Deductions after Tax Reform Examples

The Tax Cuts and Jobs Act does not specifically address the deductibility of expenses for business meals. The Department of the Treasury and the Internal Revenue Service intend to publish proposed regulations which will include guidance on the deductibility of

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Meals and Entertainment Deductions after Tax Reform

The Tax Cuts and Jobs Act generally disallows a deduction for expenses with respect to entertainment, amusement, or recreation. However, the Act does not specifically address the deductibility of expenses for business meals. The Department of the Treasury and the

Posted in IRS

The New 1040

The IRS is working on a draft version of the 2018 Form 1040, U.S. Individual Income Tax Return.  It reduces the size of the form to two half-pages in length and eliminates more than 50 lines. The 2018 draft form

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Ever-Changing Tax Law

There were about 4,430 changes to the tax code from 2001 through 2010, an average of more than one a day.

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2018 Tax Filing Season

The IRS will begin accepting tax returns on Jan. 29.  The tax deadline will be April 17 this year – so taxpayers will have two additional days to file beyond April 15.

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Tax Preparers

When it comes to deciding who should prepare your taxes, the different designations can sometimes be confusing.  The major 3 options are Enrolled Agent, Tax Attorney and CPA.  An Enrolled Agent is usually a full-time tax advisor and tax preparer

Posted in IRS

Can I claim the home office deduction if I don’t own my home and pay rent?

You can claim the home office deduction whether you rent or own your home. There are two options.  You can use a simplified option which is the square footage of the office times $5.  If you use the regular method,

Posted in Deductions, IRS

Home Office Deductions

The home office deduction is a great benefit for home-based businesses.  In 2013, more than 3.4 million taxpayers claimed deductions for the business use of a home. In order to claim the deduction, the IRS requires that the home office

Posted in Deductions, IRS