Filing tax forms is never fun—but it’s important to stay ahead of changes that can reduce your reporting burden. If your business pays independent contractors (non-employees) for services, you are required to file IRS Form 1099-NEC if total payments exceed a specific threshold. For decades, this threshold has been $600 or more in a calendar […]
OBBBA’s New 1099 Filing Rules Read More »
Do you contribute to charitable organizations? If so, recent legislation—the OBBBA—includes significant changes to the tax treatment of charitable donations, starting in 2026. Some are helpful, others less so, depending on your income and filing status. Good News for Non-Itemizers Currently, taxpayers who take the standard deduction (i.e., don’t itemize) generally cannot deduct charitable contributions.
OBBBA Charitable Giving Shake-Up: Winners and Losers Read More »
Do you have a personal vehicle? Thanks to the One Big Beautiful Bill Act (OBBBA), you may be eligible for a valuable “no new cash outlay” tax deduction beginning in 2025. Here’s how it works: If you convert a personal-use vehicle to business use, the law treats it as placed in service on the conversion
OBBBA: Convert Personal Vehicle to Business, Deduct Up to 100% Read More »
If the $10,000 cap on state and local tax (SALT) deductions limits your write-offs, here’s good news: the OBBBA temporarily increases the cap starting in 2025. From 2025 through 2029, you may deduct up to • $40,000 if married filing jointly, or • $20,000 if married filing separately. The limits adjust annually for inflation beginning
OBBBA Enhances Your SALT Deductions Read More »
If you will be age 65 or older on December 31, 2025, you have a new opportunity for tax savings. The OBBBA created a new bonus tax deduction—available for seniors beginning this year (2025). You can claim this deduction whether or not you itemize. How Much Can You Deduct? If you qualify, you may be
OBBBA Adds a Possible Senior Tax Deduction (Ages 65 and Older) Read More »
Could you use a quick infusion of tax-free cash? Your life insurance policy may provide one. And you don’t have to die to collect. To access money from your life insurance policy without dying, you must have the right type of policy—a permanent life insurance policy that lasts your entire life, such as whole life,
Life Insurance: You Don’t Have to Die to Collect Read More »
If you own rental property, you may have heard that you’re not required to file Form 1099-NEC for contractors, such as plumbers or handymen. While that’s often true, choosing not to file could be costing you valuable tax savings. Filing 1099s helps position your rental activity as a trade or business—a critical step if you
Why Landlords Should File Form 1099-NEC Read More »
If you’ve used your personal vehicle for business—whether you’re a sole proprietor or you received mileage reimbursement from your S or C corporation—there may be a valuable tax deduction waiting for you. When you use the IRS standard mileage rate (or when your corporation uses it to reimburse you), the mileage rate is not just
Personal Vehicle Used for Business Can Produce a Big Surprise Deduction Read More »
If your S or C corporation owns a vehicle that you also use personally, there are important tax rules you need to follow—and smart planning can help you save significantly. Let’s say you use a corporate vehicle 80 percent for business and 20 percent for personal use. The IRS doesn’t allow “free” personal use. You
Turn Your Corporate Vehicle into a Tax-Smart Asset Read More »
How would you like to owe the IRS a $150,000 penalty because you failed to file a simple two-page form? It can happen all too easily if you have a solo 401(k) or another self-employed retirement plan. If you’re self-employed and you have a qualified retirement plan, such as a solo 401(k) for yourself (and
Your Retirement Plan Exposes You to a $150,000 Penalty Read More »
