President Joe Biden Unveiled Tax Increases!
Recently President Joe Biden and house democrats have unveiled tax plans to raise levies on taxpayers making more than $400,000 of annual income, which equates to the top 1% to 2% of wealthiest households in the country. Although the $400K threshold does not really match household statistics, Americans with $500,000 or more of income were in the top 1.1% of tax filers in 2018, according to most recent IRS data. Single taxpayers with $400k or more income ($450K for married cou
Tax Extension Deadline (Oct. 15) Is Approaching Fast!
If you have not filed your individual tax return and are currently on extension, your extension due date for 1040 is October 15, 2021. The deadline is approaching fast! You will need to submit your tax return by the due date to avoid penalties for filing late. While Oct. 15th is the last day for most people, some taxpayers have more time if they are members of the military or others serving in a combat zone. The exception also applies to those who live in federally declared d
Tax Benefits For Charitable Givings Have Been Expanded!
Last December, the IRS enacted the Taxpayer Certainty and Disaster Tax Relief Act which provides several provisions to help individuals and businesses who give to charity. This extends through the end of 2021 with four temporary tax changes enacted by the CARES Act which are: deductions for individuals who don’t itemize; cash donations up to $600 qualify (for joint filers), 100% limit on eligible cash contributions made by itemizers, increased corporate limit to 25% of taxabl
IRS Reminds Business Owners To Correctly Identify Workers
The IRS Newsroom recently reminded business owners that it is critical to correctly determine the classification of individuals doing work for your company. Whether a worker is an independent contractor or employee, depends on the relationship between the individual and the business. Misclassified workers can adversely affect you since you could be held liable for employment taxes which include Social Security, Medicare Taxes, and Federal and State Unemployment taxes. If you
Tax Deadlines Are Coming Soon!
Top news today, estimated tax payments are due soon. As business owners, you are required to make quarterly estimated tax payments. The deadlines for these quarterly payments are April 15th, June 15th, September 15th, and January 15th of the following year. Make sure that you send your check by September 15th to avoid any underpayment penalties! For owners of S-corps or partnerships who have filed an extension for their business tax return, both types of tax returns are due o
Hurricane Ida Financial Impact Recovery
Although Hurricane Ida is over, it has left significant destruction that could potentially reach $50 billion in damages. If you are a victim of the recent Hurricane Ida, and if you have suffered financial loss, you could report your losses as a tax deduction to obtain refunds from the IRS. Check out our latest video to learn what you need to know about this extension and how to claim maximum tax deductions and get a refund immediately. If you have any questions or need some h
How Did Amazon Avoid Paying Taxes From Last Year's Success?
During the pandemic year, Amazon’s growth was remarkable. Yet, during 2020, Amazon’s effective tax rate was only 9.4%, a rate that is much lower than the standard 21% corporate tax rate. One of the many tax strategies Amazon uses includes tax credits, depreciation, and many more. If Amazon pays 21% of corporate tax from its profits, its tax payment would have been $4.1 billion, but the Company only paid $1.8 billion, a large tax saving of $2.3 billion! Unlike tax evasion, tax
A Beginners Guide to Payroll Taxes
If you have just started a business and you are thinking of hiring employees, it is easy to believe that payroll starts and ends when you issue checks to your employees, however that isn’t the case. You need to be aware of your payroll tax obligations and many other payroll filing deadlines. In our latest video, we go over what you need to know about payroll taxes and tax forms you need to file to stay out of trouble with the IRS. If you have questions about payroll taxes or
Tax Relief Now Available For Hurricane Ida Victims!
We have some news for the victims of Hurricane Ida, the IRS just announced that tax relief is now available starting from Aug 26, 2021, to Jan 3, 2022. The tax relief postpones various tax filings and payment deadlines. For example, individuals who filed an extension for 2020 return will now have until Jan 3 2022 to file. If you have questions about this tax relief or need help on taxes, please do not hesitate to call us at (832) 295-3353. You can also set up an appointment w
New Update For Child Tax Credit!
The IRS has just released a new feature that allows any family receiving the monthly Child Tax Credit payments to update their mailing address via the Child Tax Credit Update Portal. By updating your address using the portal, the IRS will use this updated address to send check payments and all future IRS correspondence. This will also be helpful for families who are receiving the payments through direct deposit as the IRS will be mailing out a year-end summary statement (Lett
