Imagine this: you didn’t issue Form 1099s to your contractors. Now, the IRS is auditing your tax return, and the auditor claims you lose your deductions because you didn’t issue the Form 1099s. Is this correct? [Read more…] about Does No 1099 Mean No Deduction for You?
New Business

If you’re a new business this is a guide you want to use to help your business stay out of trouble with the IRS and maximize your tax deductions.
Sole Proprietor
Free Guide: Click Here – No Email Required
New Corporation
Free Guide: Click Here – No Email Required
New LLC Guide
Free Guide: Click Here – No Email Required
Unfiled Tax Returns? Back Taxes? IRS Penalties? Do This!
We all know the annual ritual: once January rolls around, you gather your tax documents to file your tax returns by the deadline.
Sometimes (or maybe all the time!) you need an extension. And maybe you don’t meet the extended deadline, and now your return is late and unfiled.
Then the next tax season rolls around, and you still haven’t filed last year’s return—so you don’t want to do the current one either, out of fear of the IRS or because you need last year’s data.
Now your problem is snowballing—and if you let fear grip you, it can continue for years . . . [Read more…] about Unfiled Tax Returns? Back Taxes? IRS Penalties? Do This!
Can You Deduct Mortgage Interest?
The recent tax reform contains two big changes to how much
you can deduct in mortgage interest for tax years 2018 through 2025:
- During this seven-year period, you may not deduct any interest on prior or current home equity debt, with certain exceptions.
- Also during this seven-year period, the maximum amount you may treat as acquisition debt for homes purchased after December 15, 2017, is $750,000.
Exception alert.
Your home equity loan may include acquisition or home-improvement debt, and that
debt continues as deductible under the recent tax reform rules.
Example. Billy
took out a $90,000 home equity loan in 2015. He used $50,000 to remodel
portions of his home and used the remaining $40,000 for his daughter’s college
tuition. Billy’s total home mortgages never exceeded $1.1 million. Under the
new law, Billy may deduct 5/9 of his home equity loan interest in 2018. [Read more…] about Can You Deduct Mortgage Interest?
Things You Might Have Missed (But may still be able to pull off!)
The downside of tax changes is it seems like there’s always one more that could be deployed after January 1st, but as a general rule, if you didn’t take the deduction or the credit, likely, it’s gone. Of course there are exceptions – IRAs for example – but for the most part, the door is closed.
[Read more…] about Things You Might Have Missed (But may still be able to pull off!)
What To Expect In Refunds This Year
Whether you’ll pay taxes or expect a refund, one of the primary questions we’ve been fielding has been the size of those items with respect to taxpayers’ historical record.