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The IRS released guidance on Thursday explaining when the temporary 100% deduction for restaurant meals is available and when the 50% limitation on the deduction for food and beverages continues to apply for Sec. 274 purposes (Notice 2021-25). Under Sec. 274(n)(1), a deduction for any expense for food or beverages is generally limited to 50% …
Continue reading IRS explains which meals qualify for temporary 100% expense deduction
Time to make an estimated quarterly tax payment! Despite the individual tax filing due date being delayed until May 17, 2021, there is no delay in paying first quarter estimated tax payments for the 2021 tax year. So it is time to review your tax situation for the 2021 tax year and make an estimated …
Did you just get surprised by a little extra stimulus cash in your bank account? The Internal Revenue Service said late Thursday that its third batch of payments includes what it calls the first of many "plus-up" stimulus payments. The “plus-up” payments will continue on a weekly basis going forward, the IRS said, as the …
Continue reading Did you lose your job in 2020? You may be eligible for extra stimulus money
Good news, that is sometimes not so good. Getting a tax refund is not all it's cracked up to be. Here are some things to consider. For some reason, some believe it is better to receive than give when it comes to filing taxes. While that may help your savings account, it is not always …
The IRS said on Friday that amounts paid for personal protective equipment (PPE), including masks, hand sanitizer, and sanitizing wipes, for the primary purpose of preventing the spread of COVID-19 can be treated as amounts paid for medical care under Sec. 213(d) (Announcement 2021-7). As a result, amounts paid by an individual taxpayer for COVID-19 …
Continue reading Amounts paid for personal protective equipment qualify for medical deduction
Looking for tax-free income? Here is a list of the more common types. Wouldn't it be nice to have a source of nontaxable income? You may be more fortunate than you realize. Here are several types of income that the IRS does not tax. 1. Tax-free interest. The federal government does not tax municipal bond interest. …
The Treasury Department and Internal Revenue Service announced today that the federal income tax filing due date for individuals for the 2020 tax year will be automatically extended from April 15, 2021, to May 17, 2021. The IRS will be providing formal guidance in the coming days. "This continues to be a tough time for …
A surprise tax break for the unemployed is creating havoc on filing tax returns this year. Here is what you need to know. Individual tax filing due date: May 17, 2021 (was April 15, 2021) Unemployment income: $10,200 per person not subject to federal tax (was taxable) A surprise tax break for 2020 was passed into law in March of …
Continue reading ALERT! 2020 Tax Date Delay AND Unemployment Income Now Tax Free
In this issue: Major Life Events May Mean Major Tax Changes Major life changes can be stressful, not least because they often affect your taxes. The following are just some of the many life events that you’ll encounter, along with some tips on how to cut your tax bill or save money. Getting married. Your marital …
Prior to e-filing your tax return, you will need to review it. Here are some suggestions to ensure everything looks right. The Basics Confirm the basics for you, your spouse and your dependents: Double check the name, address, Social Security Numbers and proper identification of dependents that are under age 17Double check filing status.Confirm your income …
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