Deducting losses is a high-priority item for taxpayers in the highest marginal income tax bracket. The topic will be especially relevant during the 2022 tax compliance season because of recent declines in the stock market and a challenging overall business environment. With that said, you shouldn’t assume that every business operating loss or capital loss Read More…
On August 7, 2020, the IRS released final regulations (T.D. 9907) regarding the interaction of the $10,000/$5,000 cap on state and local tax (SALT) deduction and charitable contributions. Your SALT deduction includes real estate taxes, state income taxes (unemployment, disability, family leave, personal property taxes) and local taxes. For tax years after 2017, an individuals Read More…
If you’re interested in minimizing your tax obligations and maximizing your savings, consider these helpful tips, and contact us to review your tax strategy. Losses that Offer Tax Savings Capital loss, casualty loss, net operating loss — a loss by any name causes a financial setback. It’s something no one likes to think about, much Read More…
Under current tax law, you can deduct taxes paid to state and local governments, including property, income, and sales taxes. But the new law that takes effect in 2018, caps the deduction at $10,000, either for property taxes, state and local income taxes, or sales tax. Homeowners whose property taxes are more than $10,000 and Read More…
On an annual basis, certain individuals should review their income tax situation at the end of each year, so as to minimize their income tax liability for the year. Common planning techniques include deferring income and/or accelerating deductions to the following year. With the current climate of dramatic tax reform in Congress, there is even Read More…
When an individual or a business incurs either a casualty or theft loss, questions often arise as to the deductibility of the loss, on their tax return. A casualty loss occurs when property is damaged, destroyed, or lost from any unexpected or sudden event, such as a fire or hurriane. A casualty loss does not Read More…
When a partnership or an LLC filing as a partnership, files their Federal tax return, there is never any tax due at the entity level. Instead, all income, deductions, and credits flow proportionally to the partners on their respective Schedule K-1’s. As a result, if the IRS decided to audit a partnership tax return, taxes Read More…
All financial institutions and individuals that receive over $600 of mortgage interest in a calendar year must issue a Form 1098 to the mortgage payer. In the past, the only information that was required on Form 1098 was the names and tax ID numbers of the payer and recipient and the amount of interest received. Read More…
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