The Internal Revenue Service (IRS) encourages low- and moderate-income taxpayers to take advantage of the Saver’s Credit—a valuable tax incentive that rewards contributions to retirement accounts. By saving for your future today, you could reduce your tax bill or increase your refund in 2025 and beyond. What Is the Saver’s Credit? Also known as the Retirement Savings Contributions Credit, the … Read More
Notable changes for tax year 2025
IRS announces new federal income tax brackets for 2025 The IRS has announced new federal income tax brackets and standard deductions for 2025. In its announcement on Tuesday, the agency raised the income thresholds for each bracket, which applies to tax year 2025 for returns filed in 2026. The top rate of 37% applies to individuals with taxable income above … Read More
Tax Relief in Disaster Situations: What You Need to Know
When a natural disaster strikes, the IRS can offer disaster tax relief to help those impacted. This assistance comes after the Federal Emergency Management Agency (FEMA) meets certain criteria and declares a major disaster area. If at least one location qualifies for FEMA’s Individual Assistance program, the IRS will provide tax relief to the affected areas. For those affected by … Read More
Understanding Tax Accounting
Key Updates and IRS Guidelines Introduction to Tax Accounting Tax accounting plays a crucial role in managing finances, especially when it comes to estate planning and inheritance. It is essential to understand the complexities of tax accounting as the IRS and Treasury Department frequently issue new rules and updates that affect taxpayers. In this article, we will cover the latest … Read More
Taxpayer Advocate Service
Try as you might to do the right thing, you may still end up coming face to face with a disagreement with the IRS. Did you know there was an independent organization whose mission is to help you and act as a taxpayer’s voice. The Taxpayer Advocate Service is an independent organization within the IRS. TAS protects taxpayers’ rights by striving … Read More
Learn about – Employer-offered educational assistance programs
An educational assistance program that is offered by an employer must be one that is a written plan PDF to provide employees with undergraduate or graduate-level educational assistance. These programs allow employers to pay student loan debt and other education expenses tax-free. Eligible expenses Educational assistance programs can help pay for: Loan payments These programs can be used to pay principal and interest … Read More
Clean Energy Tax Credit – IRS Warns of a new scam .
The Internal Revenue Service (IRS) has issued a critical alert regarding an emerging fraudulent scheme involving the misappropriation of clean energy tax credits established under the Inflation Reduction Act (IRA). This sophisticated scam exploits the transferability provisions of the IRA, which allow for the purchase of eligible federal income tax credits derived from clean energy investments. Unscrupulous tax preparers are … Read More
How Long to Keep Tax Returns and Tips for Organized Tax Archives
Dealing with tax season can be stressful, but one question often lingers long after filing your returns: how long should I keep tax returns and related documents? The answer depends on your specific situation, but following some simple guidelines can ensure you’re prepared if the IRS comes knocking. How Many Years of Tax Returns Should You Keep? As a general … Read More
Facts in Accounting you didn’t know
Fun Accounting Facts you may not have known about! Accounting tends to be much of an afterthought in today’s society. Maybe seen as a little boring? Try running a business without it, or see how well your own household finances fair neglecting it. However, accounting is a discipline that crucial to our economy and way of life. Accounting can be … Read More
Taxpayers right to pay no more than what is due
Taxpayers have the right to pay no more than the correct amount of tax The IRS works hard to make sure taxpayers pay no more than the correct amount of tax. Taxpayers have the right to pay only the amount of tax legally due, including interest and penalties, and to have the IRS apply all tax payments properly. This is … Read More
Digital Asset Reporting & Tax Requirements
What taxpayers need to know about digital asset reporting Taxpayers filing 2023 tax returns must check a box indicating whether they received digital assets as a reward, award or payment for property or services or disposed of any digital asset that was held as a capital asset through a sale, exchange or transfer.A digital asset is a digital representation of … Read More
What happens if your are audited?
So what is an IRS Audit? Usually you hear the term audit and you cringe at the thought. If it isn’t part of some TV sitcom punchline, you want no part of it. Audits can be brutal or they can just be a necessary nuisance. So here is what an IRS audit entails. An IRS audit constitutes a thorough assessment … Read More