Do You Qualify for the New Federal Student Loan Forgiveness Program?

Student Loan Forgiveness Qualifications Under the new federal student loan forgiveness program, qualified taxpayers could be eligible for up to $10,000 in Federal student debt relief (or $20,000 if they received a Federal Pell Grant) on Federal student loan balances owed prior to June 30, 2022. Private student loans do not qualify for forgiveness. To […]

Do I Need to Make Federal Estimated Tax Payments?

A common concern that I often find that clients have is whether or not they need to make federal estimated tax payments. What are estimated payments?  Estimated payments are quarterly payments that you make to pay your actual or projected tax liability for the current tax year. Estimated payments are needed when you have taxable […]

What If I File an Extension?

As a tax practitioner, I have seen the prospect of filing an extension put some taxpayers’ minds at ease and create anxiety for others.  So, what is an extension, and what is the harm, if any, of filing an extension to give you more time to file your tax returns? A “Form 1040” federal extension […]

Issues concerning the 2021 advance child tax credit payments

Potential Issues with the 2021 Advance Child Credits The advance child tax credit payments began on July 15th, 2021.  Qualified taxpayers who did not opt-out online, received the advance child tax credits on a monthly basis whether they wanted to receive the child tax credit payments upfront or not! Therefore, it is not surprising that […]

Making Tax Season Less Taxing

A little preparation will make tax season less taxing this year! It has been said that this is the most wonderful time of the year!  While I would have to agree with that sentiment, I would also have to acknowledge that it can be the most stressful time of the year for many taxpayers too! […]

Required Minimum Distribution

A required minimum distribution is a mandatory distribution of retirement account funds after you reach a certain age.  (Age 70 1/2 for anyone who turned 70 ½ prior to January 1st, 2020 and age 72 for everyone else) The RMD calculation is based on your account balance as of the end of the immediately preceding […]

IRS Tax Relief For Certain Areas Impacted by Hurricane IDA

Taxpayers that reside in certain areas or have a business in certain areas that have had a Hurricane Ida disaster declaration now have additional time to file their tax returns due to IRS relief for the victims of the remnants of Hurricane Ida that began September 1, 2021.   The disaster declaration includes counties in New […]

Claiming Business Meals and Entertainment

The Tax Cuts and Jobs Act of 2017 eliminated the deduction for any expenses related to activities generally considered entertainment, amusement, or recreation such as a nightclub, golf outing, or baseball game.  However, taxpayers may still deduct business expenses related to food and beverages if certain requirements are met. Under the IRS regulations, food and […]

Claiming the Advance Child Tax Credit Payments in 2021

The IRS will pay half of the child tax credit with advance monthly payments starting July 15th. The other half you will get when you file your 2021 income tax return. The credit is $3,000 for qualifying children ages 6 to 18 and $3,600 for children under age 6. In order to qualify for the […]

Just Sold My Home: Will I owe any taxes?

Home Sales and Taxes This is one of the more common questions that I hear every year.  I imagine with the recent hot real estate market it will be even more common this coming tax season.  The answer to this question, like many other questions in the tax field, is that it depends. Section 121 […]