Your Guide to State, Local, Federal, Estate + International Taxation

Long-term care costs: It’s all about location, location, location

One of the largest concerns of many “more mature” clients is their readiness to pay for long-term care if it becomes necessary. With the nursing home costs median over $100,000 per year, a couple’s liquid assets can quickly evaporate if one or both spouses require long-term care for a number of years. The latest annual …

Keep Reading

Dealing with a deceased relative’s debt

If a loved one dies, are you responsible for his or her unpaid debts? The FTC Consumer information website includes helpful information about dealing with the debts of a deceased relative. While FTC’s information is great – here’s my best advice: Check with an Attorney! An attorney can help you navigate the process and deal …

Keep Reading

Where did all those PPP loans go?

Sometimes pictures are worth a thousand words. Here’s a breakdown of the PPP loans distributed in Arizona. To enlarge the graphs, right click on the image and then click on open image in separate tab. Arizona loan count by size     Arizona loans over $150,000 by industry   Arizona loans over $5 million by …

Keep Reading

Arizona tax planning – 529 plans and charitable donation credits

Many taxpayers find themselves pondering ways to save a few dollars during tax filing season. Arizona taxpayers have a variety of options, and today we’ll be focusing on 529 plans and state tax credits for certain charitable donations. Don’t miss: Six facts on tax refunds and offsets For taxpayers wanting to save for education costs …

Keep Reading

Heard in the halls goes work from home – heard via Teams

So, normally, this is a blog that I do for April 15th, about those fun, punchy things that happen when everyone is overworked and tired and just get a case of the giggles. This year, we started with that, and then ended with the work from home edition. But we also have a reprieve – …

Keep Reading

Inherited IRAs don’t receive bankruptcy code protection

A unanimous Supreme Court decision in the Clark v. Rameker case has held that inherited IRAs do not qualify for a bankruptcy exemption, i.e., inherited IRAs are not protected from creditors of the beneficiary in bankruptcy. The Court ruled that an inherited IRA does not fall under the Bankruptcy Code §522(b)(3)(C) exemption which states that …

Keep Reading

Business use of home deduction can be simple

Since 2013, there have been two ways to calculate the deduction for the business use of the home, also called the home office deduction. The first way is using actual expenses. You calculate the percentage of space in the home that is exclusively used for business purposes. Expenses like insurance, utilities, mortgage interest, and real …

Keep Reading

Six facts on tax refunds and offsets

So, you have filed your income tax return. And you are expecting a big refund. But instead of that amount you were expecting, a lesser amount was direct deposited into your account, or arrived in the mail. Certain financial debts from your past may affect your current federal tax refund. The law allows the use …

Keep Reading

Roth IRA contributions for high-income couples

A while back, there was an article from the Wall Street Journal that discussed a way for high-income couples to make Roth IRA contributions. A physician and his wife were maxing out their 401(k) accounts and 457 savings plans, but were ineligible for deductible contributions to a traditional IRA or contributions to a Roth IRA …

Keep Reading

Social security benefits and your taxes

Were you surprised when you finished your tax return and discovered that part of your social security benefits were taxed on your return? Some people must pay taxes on their Social Security benefits. If you get Social Security, you should receive a Form SSA-1099, Social Security Benefit Statement, by early February. The form shows the …

Keep Reading