As always, taxpayers should be aware of several key items involving credits, deductions, and refunds when filing their tax returns. Let’s take a look:1. Recovery Rebate Credit/Economic Impact Payment. In January, the Treasury Department and the IRS began sending the second round of Economic Impact Payments (EIP2) to millions of Americans as part of the implementation […]
Although tax season usually starts in late January, this year, the tax filing season is delayed until February 12, 2021. The delayed start date for individual tax return filers allowed the IRS time to do additional programming and testing of IRS systems following the December 27, 2020, tax law changes that provided a second round […]
During JanuaryAll employers – Give your employees their copies of Form W-2 for 2020 by February 1, 2021. If an employee agreed to receive Form W-2 electronically, post it on a website accessible to the employee and notify the employee of the posting by February 1.January 11Employees – who work for tips. If you received $20 or […]
Tackling any new piece of software can be daunting. Add a complex process like accounting to the mix, as QuickBooks does, and you may feel apprehensive about your ability to learn how to use it.But QuickBooks was designed for small business people, not for accountants or technical wizards. It uses familiar language and forms, and […]
Prior to tax reform, an employee was able to deduct unreimbursed job expenses, along with certain other miscellaneous expenses, that was more than two percent of adjusted gross income (AGI) as long as they itemized instead of taking the standard deduction. Starting in 2018, however, most taxpayers can no longer claim unreimbursed employee expenses as […]
Starting December 13, 2020, the IRS began masking sensitive data on business tax transcripts. Previously, only sensitive data on individual tax transcripts was masked.Here’s what you need to know about this new initiative to protect business taxpayers from identity theft:What is a tax transcript?A tax transcript is a summary of a tax return and is […]
An excise tax is a tax that is generally imposed on the sale of specific goods or services, or on certain uses. Examples of things a federal excise tax is usually imposed on include the sale of fuel, airline tickets, heavy trucks and highway tractors, indoor tanning, tires, and tobacco, as well as other goods […]
Starting January 1, 2021, the standard mileage rates for the use of a car, van, pickup, or panel truck are as follows:56 cents per mile driven for business use, down 1.5 cents from the rate for 202016 cents per mile driven for medical or moving purposes for qualified active-duty members of the Armed Forces, down […]
The Consolidated Appropriations Act, 2021, H.R. 133 included funding for the government, extensions for expiring tax extenders, COVID tax relief under the COVID-related Tax Relief Act of 2020, and many more items. Passed by both the House and Senate, it was signed into law by President Trump on December 27, 2020.Let’s take a look at […]
Creditors keep their evaluation standards secret, making it difficult to know just how to improve your credit rating. Nonetheless, it is still important to understand the factors that determine creditworthiness. Periodically reviewing your credit report can also help you protect your credit rating from fraud – and you from identity theft.Credit Evaluation FactorsMany factors are […]