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 […]

TRUMPS WAR ON SOCIAL SECURITY

Trumps war on social security. President Trump’s memorandum to Treasury Secretary Steven Mnuchin ordering that he suspend Social Security taxes for some employers and their employees for the rest of this year makes no sense if the goal is to offset economic damage from the coronavirus pandemic. But it makes a lot of sense if […]

GILLETTE AND SZCZEPANSKI V COMMISSIONER

Gillette and Szczepanski v Commissioner. In our ongoing coverage of Tax Court issues and cases we focus on this case, an Offer in Compromise issue case. The petitioners, Gillette and Szczepanski(a married couple), were assessed a liability on their 2012 federal income tax which included the penalty for early withdrawal from an IRS and the […]

TRADE WAR MAY CAUSE RECESSION

Trade war may cause recession. If a recession is coming, what should we do ? Not what President Trump and his economists are thinking about. While there is no certainty that a recession is in the offing, a number of Wall Street economists see warning signs–especially an inverted yield curve for bonds, which means that […]

CHANGES TO THE KIDDIE TAX

Changes to the kiddie tax. The Tax Cuts and Jobs Act passed by Congress and signed by President Trump, made some changes to the kiddie tax. The Tax Cuts and Jobs Act also simplified the kiddie tax, removing some of the difficulties of calculating the tax. In some cases the kiddie tax will go up […]

TAX MOVES TO AVOID PENALTIES

Tax moves to avoid penalties. With the end of 2018 fast approaching, end of year investing and tax moves can pay dividends in the new year. One of those  is for people aged 70 and a half or older: do not forget to take your required minimum distribution or you could face a very large […]

TAX REFORM ESSENTIALS

Tax reform essentials. Its been nearly three decades since any meaningful tax reform came about in Washington D.C. After suffering through one of the worst months in the history of natural disasters, America could really use tax reform.  We not only have rebuilding to do here in the continental United States, but arguably our most […]