The New 20% Pass-Through Deduction Can Make a Big Difference in Your Tax Bill. One of the winners from the Tax Cuts and Jobs Act of 2017 are pass-through businesses… but only at certain income levels, and then for only certain types of businesses.
As we reflect on the ubiquitousness of hot dogs in American life – they are all over our sports stadiums, ensconced in our movie theaters, and popping up at food carts dotting our urban streets – our minds (of course) turn toward taxes. It may surprise you that in New York, where I hail from, hot dogs were the subject of a heated tax debate.
Ever thought about becoming an Uber driver part-time? How about renting out a spare bedroom in your home? Maybe offering your dog walking services via Craigslist? Any of these actions would put you in what the IRS refers to as the “sharing economy.”
Supreme Court Decision Opens the Door for State & Local Internet Sales TaxesThings are about to change in the realm of state and local taxes and Internet purchases, thanks to the recent U.S. Supreme Court decision on South Dakota vs. Wayfair, Inc.
If you wrote a check to the IRS in April for 2017 taxes, there’s a good chance you could be doing it again for 2018 – for an even bigger amount. Not only that, but the IRS warns that if you underpay your taxes too much, penalties and interest will apply. Unless, of course, you take evasive action now.
It was probably cold the night of December 16, 1773. Three ships – the Beaver, the Dartmouth, and the Eleanor – were moored at Griffin’s Wharf in Boston Harbor. They had just completed a long journey across the Atlantic. Onboard was 92,000 pounds of tea in 340 chests… approximately 18.5 million cups of tea. All of it had been imported by the British East India Tea Company. At about 7 pm on that winter’s eve, the Sons of Liberty, some disguised as Native...
With changes and updates happening to the tax law continually, it can be hard to stay up-to-date. For business owners and 1099s, though, it’s critical to get it right. Penalties can go into the five-digit territory – not something you need… ever! Most business owners I know work hard every day to take care of their businesses. As you may already know, business owners must file Form-1099-MISC to each vendor or subcontractor to whom they have paid $600 or more in services, rents,...
Medical professionals paying out of pocket for their uniforms. Road warriors who don’t get the federal mileage rate from their employers. Teachers buying supplies for their classrooms. All these folks can be affected by the disappearance of the unreimbursed employee expense deduction. The Tax Cuts and Jobs Act, passed into law in late December 2017, put an end to it as of the 2018 tax year.
Ahhh… summer! Enjoy a more relaxed schedule, warmer weather, backyard barbeques and sandy-yet-fun trips to the beach. In between all of the activity, it’s good to incorporate life lessons that don’t require textbooks (or flotation devices). It’s old-fashioned learning by example! Starting financial education when kids are young will leave them well equipped to handle money well when they are grown.
