Split wages and withholdings in a community property state

Going back in its long history, state community property laws were justified by the pragmatic recognition that such joint ownership recognizes the theoretically equal contributions of both spouses to the creation and operation of the family unit, as a basic component of a civil society. Currently there are only nine states which are considered “community …

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Pandemic remote working tax relief is ending

As we begin to see an end in sight for the pandemic in the United States, some states have started eliminating their temporary pandemic remote working tax relief programs related to employees working remotely. This could lead to your business being subject to additional state taxes, which may require you to file state tax returns …

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Arizona implements flat tax and elective small business income tax

The Arizona House and Senate have come together to get a bill to Governor Doug Ducey for signature. Included in the bill is the implementation of a flat tax, which isn’t really flat until at least three years out. For 2021, there will be a total of four tax brackets: 2.59%, 3.34%, 4.17% and 4.5%. For 2022, …

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What you should know about the 2021 child tax credit

The American Rescue Plan passed by Congress in March of 2021 included important changes to the child tax credit. Prior to its passage, the child tax credit was $2,000 per qualifying child with up to $1,400 available as a refundable credit. In 2021, the credit has been increased to $3,000 per qualifying child between the …

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Tax expertise is what you make it

We consider ourselves lucky here that we have a wide variety of tax expertise in an assortment of tax areas. Some of the expertise is organic, some we have hired into the firm. Not only do we have the expertise, but everyone is willing to share and help out others in the firm. How do …

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Rental assistance FAQs

Many families have found themselves in strenuous financial situations and struggling to pay for rent due to the on-going pandemic. In a bid to give rental assistance, on December 27, 2020, the Department of Treasury allocated certain funds to states and political subdivisions, U.S. territories, Indian Tribes, and the Department of Hawaiian Homelands (“Distributing Entity”). …

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ADOR looking for unclaimed property owners

Did you know the Arizona Department of Revenue has over $45 million in unclaimed property belonging to more than 159,000 people with last known addresses in Maricopa County alone? One of the largest amounts due a single owner is over $596,000! Wouldn’t it be great if that were you? Don’t miss: Community property and tax …

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Identity theft and form 1099-G

During COVID, millions of Americans lost their job or worked fewer hours, prompting many to apply for unemployment benefits. During tax season, people received form 1099-G from their respective states presenting the amount of unemployment benefits they received in 2020. Some people received a 1099-G, but had not applied or received unemployment benefits. The IRS …

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How did you spend your summer?

Remember back to your school days when there were essays and projects themed around how you spent your summer? I was never one of the ones with the “coolest” or most fun summer, as I recall. But you may all be jealous of how we will spend some of our time this summer! As mentioned …

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IRS refunding taxes paid on pandemic unemployment

Good news for those of you who collected pandemic unemployment last year and already filed your 2020 taxes. You might be getting a refund! The American Rescue Plan Act enacted in March made unemployment benefits up to certain thresholds tax free. The IRS recently announced beginning in May it will begin issuing automatic refunds for …

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