Great News Today! I received a review on my newest publication, Mastering Business Basics, from the Readers's Favorite Book Review website. Here's what they had to say:
Reviewed by:
Stephen Christopher
Review Rating:
5 Stars - Congratulations on your 5-star review!
Reviewed by Stephen Christopher for Readers’ Favorite
|
When doing the taxes for people that have just started to dip their toes into the world of investing in stocks, I have found that very few knew about the wash sale rules. Yet, this could cause you to pay a lot more in taxes than you need to if you don’t watch the calendar.
I have a few tax clients that enjoy visiting the casinos around the country and one of the issues I will discussing next spring will be is the new gambling provision that could reshape how millions of U.S. gamblers are taxed on their bets. That is because the so-called "One Big Beautiful Bill" (OBBB), signed into law on July 4, 2025, introduced a cap on deductions for gambling losses.
Starting January 1, 2026, people will be able to deduct only 90% of their gambling losses against their winnings on federal taxes. (The previous policy allowed a full 100% deduction of gambling losses up to the amount of winnings.). This is projected to will raise roughly $1.1 billion in additional taxes over ten years.
The One Big Beautiful Bill, as the new tax bill is called, makes some significant changes to Americans’ personal finances.
At close to 1,000 pages, the legislation makes permanent the 2017 tax cuts and introduces new tax breaks—including deductions for tips, overtime pay, and auto loan interest—and gives a special $6,000 deduction for seniors who receive Social Security. (I figured it will save me about $1,400 a year in taxes. WooHoo!)
The bill makes cuts to begin eliminating fraud in social programs such as Medicaid and food assistance, eliminates tax incentives for clean energy, and overhauls the federal student loan system.
So, what does it mean for your wallet?
Savings bonds for a long time have been a popular investment to add to your portfolio. They provide some stability to your investments, a guaranteed rate of return, and can help you save on your taxes. Some investors have owned Series I savings bonds for many years, and the 30-year maturity date might be approaching. Others have bought them in recent years to insulate their portfolios from inflation and the ups and downs in the stock market. Either way, you should be aware of the federal income tax rules.
After doing people''s taxes for over two decades, one of the worst parts of it is when your client''s die and you have to help pick up the pieces. It is sad that in so many households only one of the spouses does all the accounting and taxes. If that spouse dies first, time and again I have found that the remaining spouse has no clue where to even start to put all the financial pieces together again.
It gets to be an even bigger challenge if the remaining spouse dies and the siblings have to figure things out, like distributing the assets or filing the final tax returns. So what happens when someone dies during the year and has a tax filing obligation?
IRS sends notices and letters when it needs to ask a question about a taxpayer’s federal tax return, let them know about a change to their account or request a payment. Don’t panic! They say they’re there to help.
When a taxpayer receives mail from the IRS, they should:
1) Read the letter carefully. Most IRS letters and notices are about federal tax returns or tax accounts. Each notice deals with a specific issue and includes any steps you need to take. A notice may reference changes to a taxpayer's account, taxes owed, a payment request or a specific issue on a tax return. By taking prompt action, you can minimize additional interest and penalty charges.