What the I.R.S. looks for and why. “Audit” is a word that can strike fear into the hearts of taxpayers. However, the chances of an Internal Revenue Service audit aren’t that high. In 2017, the most recent statistics available, show the I.R.S. audited 0.5% of all individual tax returns.¹ Being audited does not necessarily imply that the I.R.S. suspects wrongdoing. Th … [Read more...] about What if You Get Audited?
Now is a good time to think about a few financial matters. Consider making tax moves earlier rather than later. If you own a business, earn significant investment income, are recently married or divorced, or have a Flexible Savings Account (FSA), you may want to work on your income tax strategy now rather than in December or April. Do you need to pay estimated income … [Read more...] about Tax Moves to Consider in Summer
What it means; why it counts. The after-tax return vs. the pretax return. Everyone wants their investments to perform well. But for many investors it’s their after-tax return that may make all the difference. After all, even if your portfolio is earning double-digit returns, it may not matter if you’re also losing a percent of those earnings to taxes.1 Holding onto ass … [Read more...] about Tax Efficiency
What are your options? What are the benefits? If you own an Individual Retirement Account (IRA), perhaps you have heard about Roth IRA conversions. Converting your traditional IRA to a Roth IRA can make a lot of sense depending on your situation. But remember, consulting with your financial advisor before making financial decisions is never a bad idea. Ready to learn … [Read more...] about Roth IRA Conversions
A deduction intended for pass-through business owners Many households, businesses, and other organizations are arranging their documents for the coming tax season. The changes to the tax code have inspired a great deal of discussion, confusion, and clarification. Something you might want to know, as a business owner. There’s a tax cut that many may not be aware of, b … [Read more...] about Section 199A Business Tax Deductions
Health Savings Accounts may provide you with remarkable tax advantages. Why do higher-income households inquire about Health Savings Accounts? They have heard about what an HSA can potentially offer them: a pool of tax-exempt dollars for health care, a path to tax savings, even a possible source of retirement income after age 65. You may want to look at this option … [Read more...] about A Look at HSAs
A recap of the major changes impacting corporations and closely held firms. The Tax Cuts & Jobs Act changed the tax picture for business owners. Whether your company is incorporated or held closely, you must recognize how the recent adjustments to the Internal Revenue Code can potentially affect you and your workers. How have things changed for C corps? The top corporate … [Read more...] about How New Tax Laws Affect Small Businesses
How the Tax Cuts & Jobs Act impacted three popular deductions Three recent tax law changes impact homeowners and home-based businesses. They may affect your federal income taxes this year. The SALT deduction now has a $10,000 yearly limit. You can now only deduct up to $10,000 of some combination of (a) state and local property taxes or (b) state and local income … [Read more...] about Recent Tax Changes Around the Home