Tax Tips

I’ve been asked repeatedly to offer some advice to those of you who prepare your own tax returns. Here are some excerpts from an article I did over 4 years ago. Enjoy!

Well, Congress has stepped in it, at the request from the IRS, then the IRS has delayed the start of it again.

What am I talking about? Closing the reporting loophole started with the rise of third party payers and GIG income sources.

Recently, the US Supreme Court ruled that college athletes can be compensated for their name, image, and likeness (NIL).

Here’s an interesting piece of news. The National Taxpayer Union (NTU), an independent advocacy group, estimates that 60% of property in the U.S. is over-assessed. That means that over half of you reading this are probably paying too much in property taxes.

I’m a bit jealous of the weather folks. It seems like they can be wrong 99% of the time and receive an award for it. The rest of us? We get held accountable for everything we say.

So, in fear and trepidation, I am going to step out and risk being wrong. Hey! I’ve been married for over 41 years, so I’m used to being wrong… a lot!

Some things to consider as we enter into a Presidential election year. Both major political parties would love to score a “victory” for their side in tax law changes in order to gain potential votes.

Tis the season for giving. Well, here is an idea that some folks may really love. How to multiply what their non-spousal relatives can inherit from an IRA.

Rental Real Estate is just about my most favorite recommendation for investment (even ahead of stocks and bonds). It usually generates enough cash flow to break even if you must use a substantial mortgage to purchase it initially.

Who doesn’t like their home to be a comfortable temperature? I do! As I get older, I seem to like it warmer. That costs more money in the winter but saves in the summer. For others, it is the exact opposite, colder means less cost in the winter and more costs in the summer.

Last week I had some end of year planning ideas for businesses. This week, it is Individuals.

High-income taxpayers are subject to the 3.8% Net Investment Income Tax on the lesser of net investment income of the excess of modified adjusted gross income over $250,000 for married filing joint and qualifying widowers, $125,000 for married filing separately, and $200,000 for all other filers.

Many small business owners breathed a sigh of relief when Nancy Pelosi gave up the gavel as Speaker of the House. No more crazy laws attacking liberties. BUT WAIT! She passed a sleeper. Once of the first new Biden laws.

Whenever Congress gets back to the business of passing laws, there is one bouncing around in dark halls of the Capital building called the “Credit Card Competition Act.” It is designed to lower swipe fees by giving merchants more choices among networks.

Now here is a whopper of a fishing story! The current session of the US Supreme Court has an interesting case on their docket. If they rule in favor of the plaintiffs, it could end up changing a long-standing rule from a prior Supreme Court ruling of almost 40 years ago which underpins the ability of the IRS to do their job.