The SECURE 2.0 Act, passed as part of an omnibus spending bill in December 2022, added new exceptions to the 10% federal income tax penalty for early withdrawals from tax-advantaged retirement accounts. Withdrawals covered by these exceptions can be repaid within three years to an eligible retirement plan.Read More
The National Taxpayer Advocate Service (TAS) is an independent organization within the IRS. TAS helps taxpayers resolve problems with the IRS, makes administrative and legislative recommendations to prevent or correct the problems, and protects taxpayer rights. TAS is required to provide an Annual Report to Congress in January of each year and a follow-up Objective Report in...Read More
This year’s January issue of the Pearson Perspective alerted small business owners to be sure to find out if your business is one of millions affected by the Corporate Transparency Act (CTA). Congress enacted the CTA in 2021 to combat sources of financial criminal activity and abuse of anonymous companies. The law became effective January...Read More
Over a year ago, we reported on the Employee Retention Credit (ERC) included in the CARES Act providing $80 billion dollars to encourage employers to retain employees at the height of the COVID-19 pandemic in early 2020. The driving principle for Congressional adoption of the incentive was to help pandemic-impaired businesses and tax-exempts to retain...Read More
Six months overdue, the Virginia budget was finally approved by lawmakers on Wednesday, September 6, 2023. Included in the budget is about $1.05 Billion in tax reductions for eligible Virginians in the form of one-time tax rebates. Qualifying individual taxpayers will receive $200 … joint filers, $400. Virginia issued similar rebates for the 2022 tax...Read More
National Taxpayer Advocate Erin M. Collins released her statutorily mandated 2024 Objectives Report to Congress. She wrote in her introduction to the report, "In submitting this report, I'm finally able to deliver some good news: The taxpayer experience vastly improved during the 2023 filing season. The difference between the 2022 and 2023 filing seasons was like...Read More
At the height of the C-19 pandemic, the Employee Retention Credit (ERC) was introduced to help both business owners and workers maintain payrolls and income respectively. For those businesses that qualify, the ERC is a refundable tax credit intended for employers that continued paying employees … either while shut down due to the COVID-19 pandemic...Read More
The Secure 2.0 Act was signed into law in late December 2022. The legislation builds on the Setting Every Community Up for Retirement Enhancement (SECURE) Act of 2019 to further strengthen the retirement system—and Americans' financial readiness for retirement.Read More
IRS Commissioner Danny Werfel sums up the threat: "Scammers are coming up with new ways all the time to try to steal information from taxpayers. People should be wary and avoid sharing sensitive personal data over the phone, email or social media to avoid getting caught up in these scams. And people should always remember...Read More
IRS Form 1099-K is an information form typically provided to freelancers or small business owners who receive payments of income from a client via a third-party payment system. Third-party settlement organizations generally include banks or other organizations (e.g., Venmo, PayPal, or Cash App) that process credit card transactions on behalf of a merchant and make...Read More
