What Income Is Taxable?
Article Highlights: What is Taxable Income Section 61(a) of the Internal Revenue Code No 1099 Cash Sales Reselling Sports and Concert Tickets Crowdfunding On-line Garage Sales The answer to the question “what income is taxable?” can have some surprising outcomes, and this article explores some of the commonly encountered situations that could have unexpected results. […]
Understanding Self-Employment Tax
Article Highlights: Self-Employment Tax Exemptions From Self-Employment Tax Occasional Income Computing the Self-Employment Tax Farm and Non-Farm Optional Methods Foreign Earned Income Self-employment (SE) tax is a tax consisting of Social Security and Medicare taxes primarily for individuals who work for themselves. It is like the Social Security and Medicare taxes withheld from the pay […]
E-File Mandate – Reporting of Cash Payments Over $10,000
Article Highlights: Reason for Form 8300 E-File Mandate Waiver Exemptions Late Returns Late Filing Penalties Record Keeping E-File Starting Jan. 1, 2024, businesses are required to electronically file (e-file) Form 8300, Report of Cash Payments Over $10,000, instead of filing a paper return. This new requirement follows final regulations amending e-filing rules for information returns, […]
1099-K Reporting Threshold Last Minute Change
Article Highlights: 1099-K Reporting. Third-party Settlement Organizations. American Rescue Plan of 2021 Mandated Reporting Threshold. Delayed Implementation 2023 Threshold 2024 Planned Phase-in Threshold Following feedback from taxpayers, tax professionals and payment processors and to reduce taxpayer confusion, the Internal Revenue Service has announced a delay of the new $600 Form 1099-K reporting threshold for third-party […]
IRS Expands Requirement to E- File Information Returns Starting in 2024
Article Highlights: New Lower threshold for e-filing information returns Why the e-filing mandate? What is an Information Return? Other affected filings Corrected information returns Noncompliance Penalties Waivers IRS Portal Businesses, whether operating as a corporation, partnership, or a sole proprietorship, have been required to electronically file information returns when the aggregate number of these returns, […]
December 2023 Individual Due Dates
December 1 – Time for Year-End Tax Planning December is the month to take final actions that can affect your tax result for 2023. Taxpayers with substantial increases or decreases in income, changes in marital status or dependent status, and those who sold property during 2023 should call for a tax planning consultation appointment.December 11 […]
December 2023 Business Due Dates
December 1 – EmployersDuring December, ask employees whose withholding allowances will be different in 2024 to fill out a new Form W4 or Form W4(SP). December 15 – Social Security, Medicare and Withheld Income Tax If the monthly deposit rule applies, deposit the tax for payments in November.December 15 – Nonpayroll Withholding If the monthly […]
What to Do When You’ve Made a Mistake on Your Tax Return
Filing taxes can be a complex process, and it’s not uncommon for mistakes to occur. Whether it’s a simple miscalculation or a more significant error, knowing how to navigate IRS tax problems is crucial for taxpayers. In this guide, we’ll walk you through the steps to take if you find yourself in a situation where […]
Cracking the (Tax) Code: Your Guide to Tax Jargon
Do taxes have you feeling like you’ve stumbled into a secret society with its own language? You’re not alone! The world of taxes is full of jargon that can leave even the savviest of individuals scratching their heads. But don’t worry, we’re here to help! In this brief guide, we’ll give you the lowdown on […]
Navigating Taxation and Withholding Requirements for Non-Resident Aliens
Article Highlights: Nonresident Alien Substantial Presence Test Days of Physical Presence Visa Requirements Working Outside The U.S Working Within The U.S Effectively Connected Income (ECI) Fixed, Determinable, Annual, Or Periodical (FDAP) Income Tax Treaty Exemption from Social Security and Medicare Form 8233 Form W-4 As the world becomes increasingly globalized, businesses are expanding their operations […]
