Taxes

Americans may be divided over the necessity and efficacy of gun control, but it is hard for anyone to deny that the healthcare costs for victims of gun violence are substantial. State and local governments must spend a significant amount of tax dollars for law enforcement, ambulance services, and more, which can cut deeply into

Today’s Social Security column addresses questions about what effect not working in the years before filing might affect benefit amounts, switching from Social Security disability benefits to retirement benefits and on the process of starting spousal benefits. Larry Kotlikoff is a Professor of Economics at Boston University and the founder and president of Economic Security

Higher tax brackets and a larger standard deduction in 2022 may offer some relief for taxpayers who are seeing their budgets busted by inflation. The IRS has announced new standard deductions and new tax brackets for 2022, reflecting higher price levels thanks in part to inflation. Top Tax Bracket for 2022 While the top federal

A friend recently asked about retiring overseas and succumbing to the lure of an exotic lifestyle. The proposed move would have involved him retaining U.S. citizenship while establishing a permanent foreign residence. I told him not to bother, in no small part because the U.S. tax system makes his considered move burdensome. True, the IRC

The gig economy is alive and well. Even as COVID-19 upended the typical workforce norms, with more employees gaining the flexibility to work remotely, millions are still choosing to find a way to go into business for themselves. According to the freelancing platform Upwork, 59 million Americans performed freelance work in 2020, with that number

Topline The House on Friday passed one of the largest social spending proposals in history to help “restore the middle class” by tackling many of Democrats’ policy priorities—including free universal preschool for children and an expanded child tax credit—and even though the bill will almost certainly undergo changes in the Senate to appease spending-hesitant moderates,

Congress seems to be considering two ways to address the Tax Cut and Job Act’s $10,000 cap on the state and local tax (SALT) deduction. The House version of President Biden’s Build Back Better (BBB) bill would raise the cap to $80,000. An alternative plan, first proposed by the Institute on Taxation and Economic Policy

Topline The Congressional Budget Office on Thursday finished assessing Democrats’ sweeping $1.8 trillion social spending proposal and concluded it would add about $367 billion to the nation’s budget deficit over the next decade, falling short of claims the package would fully pay for itself—even with additional revenue from tax enforcement activities.  Key Facts Enacting the

This segment of What’s Ahead challenges the White House’s approach to reducing cigarette smoking. Democrats are pushing massive increases—15-fold or more—in federal taxes on far less lethal tobacco products, such as snuff, snus, cigars and pipes. Why in the world would you make safer alternatives to cigarettes so expensive?  Worse, the President’s proposed new head

In the first of a two-episode series, Professor Young Ran (Christine) Kim of the University of Utah S.J. Quinney College of Law discusses her views on the federal lawsuit challenging Maryland’s digital advertising tax. 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

Failure to understand the subtle differences in different sorts of tax entities can lead to disastrous results. Sometimes you can plead with the IRS and they will provide a deus ex machina that will avert the disaster. PLR 202142003 is an example of that sort of IRS dispensation. It is worth looking at this ruling to reflect

The Biden Administration’s COVID employee vaccine mandate is still being tested in court, with a U.S. appeals court affirming the hold on Biden COVID-19 vaccine mandate. But some people are looking ahead to whether they might have to pay a fine. President Biden announced that employers of 100 workers or more will be required to have their

There are few things more annoying in the world of personal finance than a surprisingly high tax bill. Because our tax system does not require most people to file and pay taxes until April the following year, it is easy to miss that the tax bill you are paying or the refund you are receiving

When your uncle loans you $5,000 to tide you over, is it taxable as income? Of course not, you have to repay it. What about when the bank loans you $100,000? Again no. When you receive a loan, the money isn’t taxable because you must pay it back. Can lawyers borrow too, just like anyone else? Yes, and for

Tax Notes contributing editors Robert Goulder and Joseph J. Thorndike debate the merits and necessity of the capital gains preference, all in five minutes. This transcript has been edited for length and clarity. Joseph J. Thorndike: Democrats in Washington have been pondering the unthinkable this year, curbing or even eliminating the tax preference for capital gains. Well,

One sign that post-COVID-19 normalcy is slowly coming to the tax world is that tax authorities are increasingly being accused of launching or seeking unwarranted investigations of taxpayers. Eighteen months or even a year ago, when liquidity was paramount during the height of the pandemic lockdowns, tax authorities across the world quietly backed away from

Topline President Joe Biden on Monday signed into law one of the largest infrastructure packages in U.S. history after months of bipartisan negotiations and tense political infighting, shoring up $1.2 trillion in funds, including $550 billion in new investments for the nation’s bridges, airports, waterways, public transit and more—here’s what you need to know about

I sense you, Acting Commissioner Kijakazi, truly care about the people you serve. Kristin, a 69 year-old widow, entirely out of the blue received a bill from SSA demanding she repay $118,272 due to alleged overpayment of reduced excess widow’s benefits — benefits she never requested or received. Dear Commissioner Kijakazi, surely you are not

Today’s Social Security column addresses questions about how the earnings test affects Social Security benefits while working, whether benefits automatically switch to retirement benefits at 70 after a restricted application and whether a worker’s disability benefit affects survivor’s benefits claimed on their record. Larry Kotlikoff is a Professor of Economics at Boston University and the

This year’s COP26 international climate change conference has seen unprecedented participation from the finance industry, a development that has evoked criticism from those who believe bankers aren’t going nearly far enough to help reduce greenhouse gas emissions. Greta Thunberg, the celebrated young Swedish environmental activist, has even accused the industry of actively creating loopholes and