IRS: No More Estate Tax Closing Letters…Unless You Ask

On the IRS.gov website, the IRS announced that for estate tax returns (Form 706) filed on or after June 1, 2015, estate tax closing letters will be issued only upon request by the taxpayer. Historically, the IRS’s “Frequently Asked Questions on Estate Taxes” website has provided that personal representatives can expect a closing letter to …

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Pushing for Tax Reform – Civil Tax Penalties

The American Institute of Certified Public Accountants (AICPA) has recently been participating in U.S. House of Representatives, Committee on Small Business hearings on tax reform with the goal of ensuring that main street isn’t left behind. One area of focus in this regard has to do with rules relative to civil tax penalties. Over the …

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Tax Implications of Marriage on Your Filing Status

Have you recently gotten married or plan on getting married sometime in the near future? Are you worried about the tax implications? There are a couple of choices that can be made on your upcoming tax returns that can either save or cost you money. Your current situation will be the determining factor in what …

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Where Did Your Tax Dollars Go?

Now that the 2014 tax deadline is behind us, do you have a good idea of where all your tax dollars went? If you’re like most Americans, you probably have a vague idea of how your hard-earned money is spent on the federal level, but aside from that, you probably don’t know exactly how that …

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IRS Regulations Proposed for ABLE Act

The IRS has proposed a rule issued on Friday, June 19, 2015, with guidelines for the “Achieving a Better Life Experience (ABLE) Act”. The ABLE act was designed for people who became disabled before the age of 26, to enable them and their families to save and pay for disability related expenses. Here are some …

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The Tax Benefits of Hiring Your Kids

Hiring your kids can be very beneficial for many reasons, not the least of which includes tax benefits. So consider putting your kid to work (so long as you follow all child labor laws!) and reap these potential benefits: Wages that you pay to your child are deductible by your business provided that your child is …

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I received a “B Notice” from the IRS – what do I do?

Getting a notice in the mail from the IRS can be unnerving, especially if it involves responding in a short number of days. A “B notice” is a notification that one or more tax ID numbers were missing from a 1099 or do not match IRS records. The IRS calls it a “B notice” because …

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I have a net operating loss, do I need to worry about AMT?

The benefit of having a net operating loss (NOL) is that you can use it to shield some or all of your income from taxes. The NOL rules allow for carrybacks. So, in some situations, you can get an immediate refund of taxes paid in prior years. Unfortunately, the alternative minimum tax treats NOLs differently. So, …

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Tax deduction for hosting a foreign student

One of the considerations you have to keep in mind if you are thinking of hosting a foreign student is the cost of having another person living in your home. Fortunately, the tax law provides some help to offset that cost. You can deduct as a charitable contribution up to $50 a month for the …

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If You Move, Let the IRS Know

When you are moving, you have a million things to worry about and the last thing on your mind is letting the IRS know about your new address. Most of us don’t even think to let the IRS know that we have moved until it comes time to file our next tax return, and most …

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