How Long Should You Retain Tax Returns?
Three years is the general rule to retain tax records, including the paper and electronic records that support your tax return like receipts, bank and investment account statements, K-1s, W-2s, and 1099s. But don’t be hasty: failure to keep a paper trail for the information provided on your returns could lead to problems if you’re…
Meeting Your Organization’s Tax-Filing Obligations
The 2022 tax-filing deadline is fast approaching for many not-for-profit organizations. If you operate on a calendar-year basis, your filing deadline is May 15, 2023. Otherwise, you must file by the 15th day of the fifth month following the close of your nonprofit’s fiscal year. Whichever deadline you’re aiming for, your tax records need to be organized (and, hopefully, by this time turned over to your tax preparer) so you’ll be able to file without any major hiccups.
Should You File for an Extension on Your 2022 Tax Return?
In addition to giving the IRS extra time to work the “bugs” out of the current tax code, filing for an extension can give you extra breathing room. This can come in handy if, for example, you haven’t received all the paperwork (including W-2s, 1099s and K-1s) or finished all the necessary transactions to complete…
Top 3 Federal Tax Law Changes that Could Affect Your Business Return
Every tax season, business owners must familiarize themselves with federal tax law changes that went into effect for that tax year. Fortunately, businesses don’t have to contend with sweeping changes for 2022. But there are three major ones that could affect business taxpayers as they file 2022 federal income tax returns. 1. Reduced Cap on…
Update on Deducting Business Meal and Entertainment Expenses
The federal income tax treatment of business-related meal and entertainment expenses has been a moving target the last few years. If you’re confused about what rules currently apply, you’re not alone. Here’s a refresher on what’s currently deductible — and what’s not. TCJA Impact Before the Tax Cuts and Jobs Act (TCJA) went into effect,…
Understanding Cost Basis – A Primer for Investors
If you’re thinking about selling stocks, mutual funds or other investments, you need to first gain an understanding of cost basis rules and their implications for your tax bill. Learning the rules may help you significantly reduce the amount of capital gains that will be subject to taxation as a result of the sale. Why…
Updated State-Mandated Retirement Plans: An Overview for Businesses
Many Americans are not saving enough for retirement – in fact, a recent survey by the Federal Reserve found that a quarter of working adults have no retirement savings at all. To address this growing crisis, a number of states are enacting laws that require private businesses to provide employee retirement plans. The requirement comes…
Your 2022 Tax Bill May be Higher
Temporary tax relief measures that were provided during the pandemic have expired, so the changes to the tax rules for 2022 are not as favorable to many individual taxpayers. That means that you may owe more than you have in recent years. Here are some tax breaks subject to significant changes in 2022. Child Tax…
The ABCs of the Dependent Care Credit
Do you pay someone to watch your young child or another qualifying dependent while you’re at work? If so, you may be entitled to claim the dependent care credit on your 2022 return, but you must file by April 18. Recent enhancements provided under the American Rescue Plan Act (ARPA) expired at the end of…