Arizona tax reform conformity, ADOR issues announcement

On January 10, 2019, the Arizona Department of Revenue issued a news announcement about tax reform that said . . . a whole bunch of nothing. This is not the fault of the Arizona Department of Revenue (ADOR) – they can only do what the legislature gives them information to do. And so far, it …

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Tax time: gambling winnings and losses

With the current Mega Millions jackpot at $1.6 billion (you read that right, billion with a B) and the Powerball at $620 million, this massive windfall can pop up in your daydreams. However, not considering the tax consequences of these and all other gambling winnings could make those dreams a little less sweet. In addition, …

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New rules for claiming AZ state tax credits

Arizona recently released some new rules for claiming credits for contributions that will take effect for the 2018 tax year. The affected forms are: Arizona Form 322, Credit for Contributions Made or Fees Paid to Public Schools Form 321, Credit for Contributions to Qualifying Charitable Organizations (QCO) Form 352, Credit for Contributions to Qualifying Foster …

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AZ Supreme Court rules on Invest in Ed initiative

I have been very conflicted the past several months in Arizona. In case you were not aware, the teachers walked out in Arizona over the lack of support and school funding for our public schools. (The teachers wore red and sported a #RedForEd hashtag) Politics being politics, it came to an end after six days …

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Changes: state tax credit and federal charitable deduction

We don’t get to say this too often… breaking news! The IRS is out with new proposed rules limiting charitable donations and state tax credits and you need to act fast to receive the maximum tax benefit. Arizona has several state tax credits that have also qualified as a federal charitable tax deduction, potentially helping …

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California tax bill? Mailing in a check? Not so fast

So, it’s April 15 and you need to file an extension on your California tax return. No problem, you know there is a balance owed and you plan to send in a check for $25,000 to cover the estimated amount due. Sounds simple enough, right? Well, if you are in California, this may not be …

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The decision part 3: state tax impact and NBA free agency

Here we are again. The summer of Lebron. Four years ago, I thought Lebron would stay in Miami, but he chose to come home to Ohio. Lebron has to decide before June 29 if he will opt in to the final year of his contract with the Cleveland Cavaliers, or opt out and become an …

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Breaking: Sales tax case Supreme Court decision

On the morning of June 21, 2018, the United States Supreme Court handed down its decision in South Dakota v. Wayfair, Inc. In short, this decision remands the rulings in Quill and Bellas Hess, which required a taxpayer to have a physical presence (such as a storefront or factory) in a jurisdiction for them to …

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AZ S Corp shareholders can beat (MAYBE) SALT limit

One of the results of tax reform is the new $10,000 limit to the deduction of state and local taxes (including real estate taxes) on an individual’s Schedule A. Since many high-income taxpayers far exceed the $10,000 limit, taxpayers, their advisors and many state legislatures are looking for new ways to help taxpayers, like S …

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Prepayment of state taxes for 2017

The Tax Cuts and Jobs Act of 2017 (TCJA) is expected to be signed into law by President Trump before Christmas. The bill either eliminates and/or modifies many of the itemized deductions we currently have – including state taxes. One of the items that affects many taxpayers and needs to be addressed immediately is the …

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