Passport Cancellation Program – IRS

Beginning the week of January 22, 2018 the IRS will begin certifying Seriously Delinquent Taxpayers (SDT) that owe more than $51,000 (amount adjusted for CPI annually) and the taxpayer is not working with the IRS to settle the debt with the IRS. Taxpayers will begin receiving the first round of CP508C notices around February 19 …

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Are 2018 property taxes paid in 2017 deductible?

IRS: 2018 property taxes deductible if assessed and paid in 2017 – Says the headlines, but you really need to look closer. Here are 2 examples that the IRS gives and the 2nd one says the property taxes are not deductible   The following examples illustrate these points. Example 1: Assume County A assesses property …

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Increase in standard deduction

The new tax bill increases the standard deduction to $12,000 for individuals and $24,000 for married couples. As a result, some taxpayers may wish to accelerate their itemized deductions into 2017 because they will no longer be able to itemize in 2018. In addition, in the future, grouping your deductions into one year and taking …

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Health Care Information for Individuals for filing their 2015 tax returns

The IRS has announced that it will allow taxpayers to file their 2015 tax returns, even though they may not receive their Health Care information, and will not have to will file an amended return if there are discrepancies, as long as they rely on other reasonable sources. IRS Notice 2016–4 states “Nonetheless, some employees …

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IRS sends out erroneous letters

It was announced this week that letters were sent out giving taxpayers an identity theft pin number for filing their 2015 tax returns. Unfortunately, they did not do enough proofreading and the letters say that the pins are supposed to be used for filing the 2014 tax returns which have come and gone, rather than saying …

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For Small Businesses: IRS Raises Tangible Property Expensing Threshold to $2,500; Simplifies Filing and Recordkeeping

IR-2015-133, Nov. 24, 2015 WASHINGTON —The Internal Revenue Service today simplified the paperwork and recordkeeping requirements for small businesses by raising from $500 to $2,500 the safe harbor threshold for deducting certain capital items. The change affects businesses that do not maintain an applicable financial statement (audited financial statement). It applies to amounts spent to …

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Can you be an independent contractor in California?

The more I work with the EDD and see the court cases, the more I think the answer the question is – NO, you cannot be an independent contractor in California! The IRS has a 20 point test to figure out whether you are an independent contractor or an employee. Some of the things it …

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