BHT&D Certified Public Accountants Blog

The Internal Revenue Service has extended the federal tax return filing date from April 15, 2020 to July 15, 2020. 

They have also issued an update on their plan to implement the new paid leave provisions of the Families First Legislation.

The following are other tax related deadlines as of this posting:

Tags: Business Tax, Individual Tax, COVID-19, Paid Sick Leave, Family First Legislation, Tax Filing Deadline

If you have unpaid taxes that you haven't yet been making payments toward, it might make you fearful that the IRS will come a-knocking one day to collect on what you owe. Tax debt can quickly snowball from interest, penalties, late fees, and the amount of the taxes due.

However, a lot of the scaremongering surrounding the IRS is largely sensationalized in media and daily conversation. Agents won't come bursting through your door just because you have tax debt. Instead, they must follow due process in accordance with the Internal Revenue Service Restructuring and Reform Act of 1998 (RRA). This means that you will always receive written notice concerning your balance due as well as collection actions and any requests for payment plans or settling your account.

Tags: Business Tax, Tax Return, State Income Tax, IRS Tax Return Audit, Individual Tax, Tax Liability

2% or more shareholders of an S-corporation (and family members) are not treated as an employee when it comes to most benefits.  Please see the table below for benefits that are taxable and for benefits that are tax-free to a 2% or more shareholder (and family members) of an S-corporation:

Tags: Business Tax, Taxable Benefits

Tax reform has changed the way most taxpayers need to think about and plan for their taxes. It is no longer business as usual. Advanced planning will become very important long before tax time next year.

For most taxpayers, the most significant change is the increase in their standard deduction, which on the surface seems like a big benefit. But, don’t overlook the fact that the same tax reform that nearly doubled the standard deduction took away the personal exemption as a deduction.

Tags: Itemizing Deductions, Tax Planning, Tax Deductions, Tax Deductible Travel Expenses, Business Tax, Individual Tax, TCJA

At BHT&D CPAs, we get many questions regarding the documentation required to deduct charitable donations. The documentation required depends on the type and amount of the donation.

CASH DONATIONS 

1. If the cash donation is $250 or less, you may use any of the following as proof of donation:

Tags: Business Tax, Individual Tax, Charitable Donations

If you have already filed your federal tax return and are due to receive a refund, you can check the status of your refund online.

Where’s My Refund? is an interactive tool on the IRS website. Regardless of whether you have split your refund among several accounts, opted for a direct deposit into one account, or asked the IRS to mail you a check, Where’s My Refund? will give you online access to your refund information 24 hours a day and 7 days a week.

Tags: Business Tax, Individual Tax, Tax Refund

If you aren’t one of those lucky Americans who gets a tax refund from the IRS you might be wondering about your options for paying off your tax liability by the April due date.

The IRS encourages taxpayers to pay the full amount of their tax liability on time, and it imposes significant penalties and interest on late payments. Thus, if you are unable to pay the taxes that you owe, it is generally in your best interest to make other arrangements to obtain the full funds to pay your taxes so that you are not subjected to the government’s penalties and interest. Here are a few options to consider.

Tags: Individual Tax Return, Business Tax, Individual Tax, Tax Liability

If you are a business owner who is accustomed to treating clients to sporting events, golf getaways, concerts and the like, we have some bad news for you. The GOP’s tax-reform bill that President Trump signed on December 22nd of last year eliminated the business-related deduction for entertainment, amusement or recreation expenses, effective beginning in 2018.

Tags: Business Tax, Small Business, Tax Reform, TCJA

The Tax Cuts and Jobs Act was signed into law on December 22, 2017.  This law means significant changes for both individuals and businesses.  While all changes are not listed below, it does include a good summary of the legislation that could impact you or your business.  Most changes will take effect for 2018 – those with an effective date other than 2018 have been noted: 

Tags: Depreciation Deduction, Business Tax, Estate and Gift Tax, Tax Reform, Individual Tax

The House’s proposed Tax Cuts and Jobs Act was released on November 2, 2017.  The Senate version of the bill was recently released with some substantial modifications to the House proposal.  While not law, here are a few highlights of the Senate’s version of the bill:

Tags: Business Tax, Tax Reform, Individual Tax