Holiday scam reminder: Gift cards are never used to make tax payments
This holiday season the IRS reminds taxpayers, the agency won’t ask for or accept gift cards as payment for a tax bill. However, that doesn’t stop scammers from targeting taxpayers…
Important charitable giving reminders for taxpayers
Yesterday’s Giving Tuesday was the kickoff of the season of charitable giving. The IRS encourages taxpayers to research charities before donating and to familiarize themselves with the expanded tax benefits…
What small business owners should know about the depreciation of property deduction
Depreciation is an annual tax deduction that allows small businesses to recover the cost or other basis of certain property over the time they use the property. It is an…
IRS provides guidance on per diem rates and the temporary 100% deduction for food or beverages from restaurants
The Internal Revenue Service recently issued Notice 2021-63 to make clear how the temporary 100% business deduction for food or beverages from restaurants applies to taxpayers properly applying the rules…
IRS announces changes to retirement plans for 2022
Next year taxpayers can put an extra $1,000 into their 401(k) plans. The IRS recently announced that the 2022 contribution limit for 401(k) plans will increase to $20,500. The agency…
Teachers can deduct out-of-pocket classroom expenses including COVID-19 protective items
Fall is here and another school year is in full swing. Many teachers are already dipping into their own pockets to buy classroom supplies that will help set their students…
Foreign Earned Income and Housing Exclusion
If a taxpayer is a U.S. citizen or resident alien, the rules for filing income tax returns and paying estimated taxes are generally the same whether he or she is…
IRS announces 401(k) limit increases to $20,500
The Internal Revenue Service announced recently that the amount individuals can contribute to their 401(k) plans in 2022 has increased to $20,500, up from $19,500 for 2021 and 2020. The…
Bona Fide Residence or Physical Presence Test
A resident alien is generally taxed by the United States on worldwide income, just like a U.S. citizen. A U.S. citizen or resident alien who earns income in a foreign…
Determining Alien Tax Status
The distinction between a resident alien and a nonresident alien is crucial for your tax liability. Resident aliens are taxed like U.S. citizens, on their worldwide income, while a nonresident…
