Eligible Parents Will Begin Receiving Advance Child Tax Credits July 15
The 2021 advance child tax credit (CTC) payments, which were established under a recent law, will begin being made on July 15, 2021, the IRS announced. The tax agency also stated that “roughly 39 million households — covering 88% of children in the United States — are slated to begin receiving monthly payments without any further…
Which States Are Opting Out of Federal Unemployment Benefits
In recent weeks, many employers have complained about how difficult it is to fill job openings. The country is returning to normalcy, with COVID-19 cases drastically falling, yet some businesses can’t get all their workers to come back. Maryland recently joined 24 other states in ending the $300 per week federal unemployment benefits in a…
Are You Ready for the Return of EEOC Census Reports
Data collection from employers isn’t new. The Equal Employment Opportunity Commission (EEOC) has been harvesting employment-related information for a long time. The last year employers had to file the EEO-1 report was for 2018, which was due in 2019. Now that the EEOC is returning to a more normal staffing level, companies that are required…
7 Valuable Deductions for Self-Employed Individuals
If your business was forced to close due to the pandemic, you may be itching to get back in the game. Or maybe you’re looking to fulfill a lifelong dream of running a business for the first time. In any event, there’s been a recent uptick in the number of people starting small businesses. Uncle…
New DOL Guidance on Blocking Retirement Plan Cyberattacks
The U.S. Department of Labor (DOL) is becoming alarmed by the growing prevalence and sophistication of cybercrime. In response to this mounting threat, the agency recently released a cybersecurity program best practices guide for employers and companies that provide services to their retirement plans. Benefits of Prompt Compliance Attorneys specializing in retirement plan matters advise plan…
How Landlords Can Cope with Pandemic Fallout
How can tenants pay their regular monthly rent bills if they’re out of job? As unemployment skyrocketed due to the COVID-19 pandemic, Congress enacted a series of laws designed to provide relief to renters and protection from potential eviction. But these relief measures often left owners of residential rental properties holding the bag. However, for…
How Virtual Currency Transactions Affect Your Tax Situation
Virtual currencies, also known as cryptocurrencies, have gone mainstream. For example, you can use Bitcoin to buy a Tesla, or you can use a Bitcoin wallet on your smartphone to make everyday purchases. But beware: Using virtual currency has federal income tax implications that may surprise you. With increasing market acceptance and the skyrocketing price of…
Vacation Home Usage Has Tax Implications
Do you own a vacation home that’s classified as a rental property for tax purposes? Rental property owners may be tempted to use their rental properties for their personal “staycations” or as remote office locations during the COVID-19 pandemic. But this could cause adverse tax consequences, depending on your situation. Here’s what you need to know….
Which Start-Up Costs Are Deductible for Federal Tax Purposes?
Many people started businesses in 2020, and many others plan to launch new ventures in 2021. Entrepreneurs often have questions about whether business expenses for a start-up can be deducted in the year they’re incurred or paid — or whether they must be capitalized and deducted over time. Here’s some guidance. Basic Tax Rules Internal…
EIC: New Law Makes Major Changes
The earned income credit (EIC) has been around for years. But it’s never been worth as much as it will be for 2021 under the new American Rescue Plan Act (ARPA). Some favorable changes are only for the 2021 tax year; others are permanent. Here are the details. Important: Many people report too much income…