While there are a number of reasons to consider converting a home into a rental, there are also tax issues need to be dealt with. Home values are through the roof. Demand for housing exceeding the available inventory. Current interest rates are at an all time low. It’s no wonder homeowners are converting their existing …
Tax Central
Electric Vehicle Credits Phasing Out
Considering purchasing an electric vehicle and expect to receive federal electric vehicle credits along with the purchase? Be sure to do your homework first. There is a phaseout based on a manufacturer’s sales of electric vehicles that impacts the credit available to the purchasers of the vehicles. Many popular manufacturers like Tesla and General Motors …
Congratulations to Michelle Long for passing the EA exam!
Congratulations to Michelle Long! Michelle Long will soon be able to add a set of initials after her last name. Recently Michelle took and passed the final exam (of 3) required for the Enrolled Agent certification. However, currently she’s waiting (along with everyone else) for the IRS to acknowledge her achievement and send her the …
Congratulations to Michelle Long for passing the EA exam!Read More
Tax Reporting Issues Concerning Foreign Income
Since the pandemic, more people than ever are working remotely and telecommuting worldwide. And with the variety of work locations, especially concerning foreign income, comes tax reporting issues. One or more of these may be relevant to your situation. The following tax reporting issues, which you may not be aware of, apply to individuals. In …
Payment Options When You Can’t Pay Your Taxes
If this year, you need to consider some payment options to help pay your taxes, you are not alone. Although most American taxpayers (74% in 2020) receive a refund when they file income tax returns, many end up owing. And of those who owe, many don’t have the means to pay by the return due …
Charitable Contributions and Tax Deduction Peculiarities
Most charitable contributions are deducted as part of a taxpayer’s itemized deductions on IRS Schedule A. That is, except for the special 2020 and 2021 provisions that allow up to $300 of cash donations as a deduction for non-itemizers. ($600 for married taxpayers filing jointly for 2021.) Charitable contributions can take many forms, and some …
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There’s a Special Tax Benefit for Inheritances
Did you know? There’s a special tax benefit for inheritances. You may hear people use the term “Stepped-Up Basis”. This is a tax provision that can be quite beneficial to people who inherit property. It allows beneficiaries of an inheritance to reduce or even avoid taxes when selling inherited property. When an individual sells property, …
Gambling And Tax Traps
If you spend much time in a casio, it’s important to be aware of gambling and tax traps that can occur. Although gambling may seem to be a recreational activity for many taxpayers that is not the case concerning the government. They look at it as a source of tax revenue. And as one might …
If You Have A Side Hustle, Be Advised: The IRS Is Cracking Down
If you have income coming in from a side hustle, be aware that reporting requirements have changed. For several years now, the IRS has required payments made to merchants through various marketplaces, payment processors (credit & debit cards), and third-party settlement organizations (TPSOs) to be reported on Form 1099-K. The purpose being to uncover merchants …
If You Have A Side Hustle, Be Advised: The IRS Is Cracking DownRead More
