IRS provides tax inflation adjustments for tax year 2022
Highlights of changes in Revenue Procedure 2021-45: The tax year 2022 adjustments described below generally apply to tax returns filed in 2023. The tax items for tax year 2022 of greatest interest to most taxpayers include the following dollar amounts: The standard...
IRS announces 401(k) limit increases to $20,500
WASHINGTON — The Internal Revenue Service announced today that the amount individuals can contribute to their 401(k) plans in 2022 has increased to $20,500, up from $19,500 for 2021 and 2020. The IRS today also issued technical guidance regarding all of the cost of...
The tax responsibilities that come with shutting down a business
There are many reasons a business owner may choose to close their doors, and there are many things that must be done to go out of business. Two important steps all business owners must take are fulfilling their federal tax responsibilities and informing the IRS of...
Here’s how a taxpayer’s custody situation may affect their advance child tax credit payments
Parents who share custody of their children should be aware of how the advance child tax credit payments are distributed. It is important to remember that these are advance payments of a tax credit that taxpayers expect to claim on their 2021 tax return. Understanding...
Taxpayers who aren’t eligible for the child tax credit should look into the credit for other dependents
The credit for other dependents is a tax credit available to taxpayers for each of their qualifying dependents who can’t be claimed for the child tax credit. The maximum credit amount is $500 for each dependent who meets certain conditions. These include: Dependents...
IRS recognizes Small Business Week: Resources available to help employers
WASHINGTON — During National Small Business Week, the Internal Revenue Service wants small business owners to know that information and resources to help them understand and meet their tax obligations are available free at IRS.gov. Small businesses play a pivotal role...
Advance Child Tax Credit Payments in 2021
To qualify for advance payments of the Child Tax Credit, you (and your spouse, if you filed a joint return) must have: Filed a 2019 or 2020 tax return and claimed the Child Tax Credit on the return or Given us your information in 2020 to receive the Economic Impact...
More than 2.2 million additional Economic Impact Payments disbursed under the American Rescue Plan
WASHINGTON — The Internal Revenue Service, U.S. Department of the Treasury, and the Bureau of the Fiscal Service announced today they have disbursed more than 2.2 million additional Economic Impact Payments under the American Rescue Plan. Today's announcement covering...
The Factors Involved In Determining Reasonable Compensation
Training And Experience Generally, the higher your experience, and the more extensive your skillset, the higher your salary as a shareholder-employee should be. Duties And Responsibilities An individual who assumes high-level responsibilities should receive higher...
IRS: Monthly Child Tax Credit payments begin
WASHINGTON — The Internal Revenue Service and the Treasury Department announced today that millions of American families have started receiving monthly Child Tax Credit payments as direct deposits begin posting in bank accounts and checks arrive in mailboxes. This...