TAX PROPOSAL TO REDUCE INCOME INEQUALITY

Tax proposal to reduce income inequality. An additional 573 people have claimed billionaire status since the Covid pandemic began. Yet, 263 million people are at risk of falling into extreme poverty. The widening gap between rich and poor has led to renewed calls for the U.S. to tax wealth more. The widening divide between the […]

IRS GEARING UP FOR INCREASED COLLECTIONS

IRS gearing up for increased collections. The IRS has, as many businesses during the Covid pandemic, had a rough time lately. After being shut down for nearly 7 months during the initial outbreak of the virus, then starting up only to be shut down for a shorter period during the Delta variant, they fell behind […]

STIMULUS AND 2020 TAXES INTERTWINED

Stimulus and 2020 taxes intertwined. Your taxes have a lot more to do with your stimulus checks than you may think—and that goes for the first and second direct payments as well as a potential third stimulus check. Your federal income tax plays a major role in determining the size of the check the IRS […]

FAMILIES FIRST CORONAVIRUS RESPONSE ACT

Families first coronavirus response act. As businesses reopen and employees return to work, we have seen an increase of the coronavirus affecting more employers. The FFCRA mandates paid sick leave and family leave for businesses with 500 employees or less. There is no cost to the employer share of the Social Security and medicare taxes […]

IRS INCREASES AUDITS TO HIGH INCOMES

IRS increases audits to high incomes.  As part of a larger effort to ensure compliance and fairness, the Internal Revenue Service announced that it will step up efforts to visit high income taxpayers who in prior years have failed to timely file one or more of their tax returns. Following the recent and ongoing hiring […]

UNIVERSAL HEALTHCARE HAS BECOME POLITICAL

Universal healthcare has become political. With the number of people uninsured in the United States continuing to go up, and the cost of prescription drugs going up, the public outcry over the cost and quality of the United States healthcare system has intensified. As rural hospitals and emergency rooms continue to shut down, it has […]

RETIREMENT ENHANCEMENT ACT EXPLAINED

Retirement enhancement act explained. This Act, also known as the Secure Act, allows for non-taxable income received by home healthcare workers “difficulty of care” payments, to be treated as compensation for purposes of contributing to defined contribution plans and IRAs. The maximum penalty free distribution is $3,000 per individual per birth or adoption. As  a […]

TAX TIPS FOR MARRIED COUPLES

Tax tips for married couples. Married couples have three filing choices they can make. They may file married filing jointly, which is the most popular, due to the fact it lowers couples tax bracket the most in most situations, married filing separately, and head of household. The standard deduction depends on which filing status you […]