Last week, a dozen GOP lawmakers introduced the Fair Tax Act of 2025. The bill proposes to abolish the IRS and repeal all personal and corporate income taxes, the death tax, gift tax, and payroll tax.
In a pivotal development for businesses nationwide, the 5th Circuit Court of Appeals has stayed the Texas District Court’s preliminary injunction, which had temporarily paused the enforcement of the Corporate Transparency Act (CTA). This decision reinstates the January 1, 2025, filing deadline for companies to comply with the CTA’s Beneficial Ownership Information (BOI) reporting mandate.
On December 3, 2024, the U.S. District Court for the Eastern District of Texas issued a nationwide preliminary injunction temporarily halting the enforcement of certain reporting requirements under the Corporate Transparency Act (CTA).
When the tax laws changed in 2018, most people no longer had to use the itemized deductions (Schedule A), but found it easier and more beneficial to just use the standard deduction. Generally, I find that there is a small minority that still itemize. They usually have a lot of property taxes, large amounts mortgage interest and give a generous amount to charities (such as tithing 10% to their church).
One of the biggest tax pains in the last two decades in the tax preparation world has been when two separated or divorced parents both try to claim the same child - regardless of who had the right to. You see, the IRS doesn't care what a separation or divorce decree says. They got tired of reading them to make determinations. So they came us with the custodial parent rules.
Because they don't trust United States persons resident abroad and green card holders to pay their taxes, the IRS has issued final regulations on required income tax withholding for certain types of retirement distributions. These regulations apply to distributions from deferred compensation plans (such as 401(k)s), IRAs, and commercial annuities.
I'm always amazed each tax season that people don't really know how the profits and losses from stock sales (capital gains) are taxed at the federal level, much less the state level. Depending on your income, they can be taxed at three different rates: 0%, 15%, or 20%.
The US Supreme Court recently ruled in a case called Polselli v. IRS, that the IRS can sometimes secretly probe bank records without notice to taxpayers. Under an existing statute, the IRS can also without notice request and examine bank records of people who don't even owe it money - like friends, family, and associates of a taxpayer who does owe the IRS.
This dispute began when a taxpayer (Remo Polselli) owed more than $2 million in taxes to the IRS.
The Internal Revenue Service announced today the annual inflation adjustments for tax year 2025 - in case you are planning how much money you have to hand over for them to waste next year.
The tax year 2025 adjustments described below generally apply to income tax returns to be filed starting tax season 2026. The tax items for tax year 2025 of greatest interest to many taxpayers include the following dollar amounts:
As the year winds down, it's time to start thinking about preparing your finances for the end of the year. QuickBooks, a popular accounting software, can be a valuable tool in this process. In this blog post, we'll explore how QuickBooks can help you organize your financial records, track your income and expenses, and ensure that you're ready for tax season.