Business Tax
Wouldn’t it be great if there was a way to sell your current real estate investments and defer capital gains taxes indefinitely? Actually, there is. Savvy investors can use 1031 exchanges to save on taxes by “swapping” one property for another. The method gets its name from Section 1031 of the Internal Revenue Code and…
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With inflation at its highest rates in decades, the markets in turmoil, and a recession looming, we’re overdue for some good news. Finally, we have some: starting in 2023, you may pay less in taxes. That’s because on October 18, the IRS announced annual inflation adjustments for more than 60 tax provisions, including income tax…
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On October 21, 2022, the IRS announced a record increase in retirement plan contribution limits for 2023. The new limits apply to most types of defined contribution plans as well as Individual Retirement Accounts (IRAs). With inflation currently running at 8.2%, the new contribution limits will let workers to put more of their pre-tax earnings…
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In a recent blog post, we discussed the IRS’s recent windfall of $80 billion via the Inflation Reduction Act to increase staff, upgrade technology, and increase enforcement efforts. Now Republicans on the Senate Finance Committee are calling for details about exactly how that money will be spent. In a 10-page letter to Charles P. Rettig,…
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On October 10, 2022, the IRS issued a new revenue procedure allowing S corporations and their shareholders to resolve certain issues without having to request a private letter ruling (PLR). What is a Private Letter Ruling (PLR)? A private letter ruling (PLR) is issued by the IRS to a taxpayer in response to a written…
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In the spring of 2020, as Covid-19 swept the country, the US government created the Paycheck Protection Program (PPP) in response to the crisis. Administered by the Small Business Association (SBA), PPP loans enabled thousands of small businesses to stay afloat and continue meeting their obligations even as the world shut down. Recipients of the…
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At a recent Tax Executives Institute event, Holly Paz, the deputy commissioner of the IRS’s Large Business & International division, told listeners that increasing staff who focus on high-income individual filers “is a really high priority area for the service.” She added that the green energy credits for businesses included in the Inflation Reduction Act…
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The recently passed Inflation Reduction Act includes $80 Billion in funds over the next 10 years to overhaul the IRS. The IRS and proponents of the funding are promising long-overdue upgrades to taxpayer services, enforcement, and technology. Critics have raised concerns that the emphasis on enforcement will result in more audits for average Americans. In…
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Higher federal short-term interest rates have caused the IRS to increase its interest rate for over and under-payments of tax obligations. Learn more about the updated interest rates for Q4 of 2022.
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Tired of hearing about inflation? Brace yourself: despite federal attempts to tamp it down, odds are we’ll be dealing with it a little while longer. According to the Bureau of Labor Statistics, inflation for 2022 hit 8.3% in August, its highest rate in 40 years. Supply chain issues, a strong labor market, rising energy prices,…
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