Every year, transfer tax and foreign item figures are adjusted to reflect increases in cost-of-living expenses, following the average Consumer Price Index (“CPI”). Based on the CPI figures reported in 2022 by the U.S. Bureau of Labor Statistics, the IRS has updated certain figures, including the gift tax exclusion. Don’t miss: How long should you …
After tax season is over and your tax return is filed, you might find yourself wondering how long you should keep your tax records. The length of time you should keep a record will depend on the action, expense or event in which the document records. Usually, you must keep records that support an item …
Have you ever had questions about your tax account, but dread calling the IRS because of massive waiting times to reach a representative? An online IRS account will give you fast access to your information without the long waiting times. Don’t miss: Taxpayer representation and dealing with the IRS An online account will give you …
Did you know that when it comes to dealing with the IRS, you have the right to retain an authorized tax representative? Common representatives include attorneys, certified public accountant and enrolled agents. If you can’t spare the price for representation, the Low Income Taxpayer Clinic (LITC) is a resource for those who need help. This …
On September 29, 2022, the Financial Crimes Enforcement Network (FinCEN) issued final regulations to the Corporate Transparency Act (CTA). As detailed here Don’t miss: Estates allowed to request late portability election for five years The CTA requires corporations, LLCs and other companies to report beneficial owner information on entities organized or doing business in the …
The IRS issued a revenue procedure (Rev. Proc. 2022-32) that now allows an estate to make the portability election for a deceased spouse’s unused exemption up to five years after the decedent’s date of death if the decedent’s date of death was after December 31, 2010. Don’t miss: IRS updates time to file for a …
Prior to the new Revenue Procedure 2022-32, the IRS allowed estates that did not need to file an estate tax return based on Section 6018(a) to file a late portability election up to the second anniversary of death through Revenue Procedure 2017-34. Don’t miss: Hobby or business? A portability election is an election that lets …
There are hundreds upon thousands of potential hobbies people could have, from quilting to woodworking to collecting stamps. Most of the time your hobby will never turn a profit, but in the case that you do earn an income you need to be aware that this income does have to be reported on your tax …
Retirees will see an historic increase in Social Security and Supplemental Security Income (SSI) benefits in January when the annual cost of living adjustment kicks in. Don’t miss: PTET and potential administrative headaches In 2023, benefits will jump 8.7% with an average increase of more than $140 per month. This is the largest bump in …
If you are not up to date on the latest tax terminology and do not know what PTET is, then you may want to click here. Don’t miss: 2022 changes to Arizona tax credits In this third and final segment, I want to talk about some of the administrative issues we are beginning to think …