Taxes

Today’s Social Security column addresses questions about whether child-in-care spousal benefits time out, taking retirement benefits before spousal benefits and what effects living and working outside the US might have on Social Security benefits. Larry Kotlikoff is a Professor of Economics at Boston University and the founder and president of Economic Security Planning, Inc. See

For years, the IRS has made clear that their first contact with you will not be a text or email. But it turns out that it might be a knock on your door. Residents of Floyd County, Georgia, were shocked recently when they saw a man visiting homes claiming to be from the IRS. Several

Tax season is here, which can be a treacherous time for small business owners who have avoided proactive tax planning. If you find yourself with a higher-than-expected tax liability for 2022, opening and fully funding a SEP IRA may be a way to slash your 2022 taxes. To benefit from a SEP IRA, you should

Yes, I’ve known for months that my taxes are due by April 18. But I’m changing tax preparers. And I’m really busy at work. And there was the pandemic. And my return is really complicated. That sounds a bit like the IRS’s recent admission that it missed its February deadline to complete a business plan

Tax Notes legal reporter Nathan Richman talks with IRS Criminal Investigation Deputy Chief Guy Ficco about the upcoming Advance Collaboration Data Center and other CI initiatives. This transcript has been edited for length and clarity. David D. Stewart: Welcome to the podcast. I’m David Stewart, editor in chief of Tax Notes Today International. This week:

Tax returns are annual, and getting them filed also means starting the clock ticking for how long the IRS has to audit you. But when might you be in the clear? Your audit exposure is at least three years from when you file your return, but you might be a risk for years more. In

Tax preparers and advisers use the term ‘disclosure’ frequently. It can sometimes have a negative connotation. Without knowing exactly why, most people do not want to ‘‘disclose’’ unless they must. Discretion and privacy sound better. They may not even know what disclosure actually is. Disclosure sounds like it exposes you to extra audit risk, which

The IRS’s victory in 3M v. Commissioner could be the latest sign that an era defined by judicial disinterest in section 482’s commensurate with income standard is finally drawing to a close. The relevance of the commensurate with income standard — the contentious and widely misunderstood requirement set out in section 482’s second sentence since

While I know you probably don’t volunteer to get a tax deduction, paying fewer taxes might free up some time to volunteer even more. If you itemize your tax deductions and volunteer, you may be entitled to some valuable deductions. Before taking a tax deduction for your expenses incurred while volunteering, here are a few

It has been a wild ride for buyers and sellers in the US housing market over the past year. The year-over-year growth rate for home prices reached 20.1% in April 2022— the highest level in more than two decades. But rates fell after that, dropping to just 8.6% by November. What does that mean? Homeowners

Need to call the IRS? You’re going to have to wait. Taxpayers and tax professionals alike have reported an uptick in service this season compared to last tax season. That’s likely attributable to new hires—the IRS has hired more than 5,000 new telephone assistors and added more in-person staff to help support taxpayers. Still, earlier

Today’s Social Security column addresses questions about benefit rates after applying for but not receiving early benefits due to the earnings test, reporting foreign pensions and when it might be advisable to apply for benefits given an age difference between spouses. Larry Kotlikoff is a Professor of Economics at Boston University and the founder and

Remember that backlog of unopened IRS correspondence? The agency is taking another step towards offering taxpayers an alternative to adding to the pile: taxpayers who receive specific notices requiring them to send information to the IRS now have the option of submitting their documentation online through IRS.gov. Backlog How bad is the backlog? According to

Two California men have been sentenced to prison for their roles in a conspiracy to defraud the Paycheck Protection Program (PPP) and for preparing false tax returns for professional athletes. According to court documents and statements, Thanh Rudin was a principal of Mana Tax Services, a tax preparation business created in 2018. Seir Havana was

I’m starting to get this question more and more from do-it-yourself types hoping to save money. If computers can beat a world chess champion, they argue, why can’t they perform as good as or better than my local tax advisor? We’ll explore this issue in more detail below, but the short answer is no, artificial

Today’s Social Security column addresses questions about whether Social Security spousal benefits can only be paid for a limited time, eligibility for survivor’s benefits and how Social Security taxed wages are reported to Social Security. Larry Kotlikoff is a Professor of Economics at Boston University and the founder and president of Economic Security Planning, Inc.

There has recently been a fair amount of activity in the world of Section 179D – an important tax incentive for energy efficient building design. As background, in 2005, Congress enacted Section 179D of the Internal Revenue Code, – the energy efficient commercial building deduction – in an effort to impact the country’s largest consumer

There is a big difference between managing direct taxes, such as corporate tax, and indirect taxes, such as sales tax and value added tax (VAT). While for corporate taxes, it is irrelevant where the customer is located or the goods are shipped to, for indirect taxes, every transaction detail matters and is crucial to determining

Taxpayers lose quite a bit of money in flexible spending accounts (FSAs) each year while trying to save a few tax dollars. FSAs are fairly simple. Before the start of the year, an employee elects to defer part of his or her compensation into an FSA. The deferred amount is excluded from gross income for

Trader tax status (TTS) is the ticket to tax savings. If you qualify, you can claim some tax breaks, such as business expenses, after the fact and elect and set up other tax breaks — like Section 475 MTM accounting (tax loss insurance) and health insurance and retirement plan deductions through an S-Corp— on a