IRS INCREASES GAS MILEAGE WRITE OFF

IRS increases gas mileage write off. As the economy shifts gears due to Covid, the war in Ukraine, and the Federal Reserve changing from a dozen years of easy money, to a more restrictive monetary policy, not to mention the rampant inflation that has overtaken the entire world, the IRS decided to increase the mileage […]

IRS PROVIDES GUIDANCE FOR PUERTO RICO

IRS provides guidance for Puerto Rico. In IRS bulletin IR-2022-105, the Internal Revenue Service provided guidance for certain individuals in Puerto Rico on how to file and claim the Child Tax Credit payments that they are entitled to receive under the American Rescue Plan Act. “It’s important for residents of Puerto Rico to know that […]

COMMON TAX MYTHS THAT HURT

Common tax myths that hurt. With tax season officially open, although it has been delayed due to the virus outbreak, taxpayers may test a familiar sense of anxiety. In fact, about one in three taxpayers told Credit Karma Tax in a recent survey they typically get anxious about prepping their taxes. Tax anxieties are higher […]

TAXPAYERS QUALIFY FOR STUDENT LOAN RELIEF

Taxpayers qualify for student loan relief. The IRS extended its safe harbor relief from recognizing cancellation of debt (COD) income for students whose loans were discharged either because their schools were closed or as a result of some type of fraud (Rev. Proc. 2010-11). This revenue procedure establishes a safe harbor extending the relief provided […]

TAX DOCUMENTS YOU NEED TO FILE RIGHT

Tax documents you need to file right. When most people celebrate the new year, tax returns aren’t generally on their minds. But if you’re expecting to get a tax refund and itching to have that money in your pocket as soon as possible, there’s a good reason to want to have your return prepared quickly […]

PART OF GENETIC TESTING IS MEDICAL CARE

Part of genetic testing is medical care. In a redacted Private Letter Ruling the IRS has ruled that a portion of ancestry genetic testing (consisting of a DNA collection kit and health services) is medical care and hence, that portion of the costs of the services and kit is potentially deductible. The IRS left it […]

MICRO CAPTIVE INSURANCE SCHEMES

Micro captive insurance schemes. The Internal Revenue Service has announced the mailing of a time limited settlement offer for certain taxpayers under audit who participated in abusive micro captive insurance transactions. Taxpayers eligible for this offer will be notified by letter with the applicable terms. Taxpayers who do not receive such a letter are not […]

IRS AND PRIVATE DEBT COLLECTORS

IRS and private debt collectors. Is IRS has been preparing to use private debt collectors for some time now. Its been a long time since the IRS used private debt collectors, in fact you would have to go back to President George H.Bush’s time in office to see what happened when that occurred. Back then, […]

TAX INCREASE TAX DECREASE

Tax increase Tax Decrease. Whether a taxpayer has a tax increase tax  decrease is the new talk among tax professionals. We have heard stories of people who thought they would get a decrease the way the new legislation was being proposed, framed, and sold tot he public, only to find out after having a tax […]