Selling a highly appreciated principal residence could trigger a large gain. While some of the gain may be sheltered with the home sale gain exclusion, the rest could result in a sizable income tax bill. To avoid this negative tax outcome, you could convert the home into a rental property and eventually execute a tax-deferred Section 1031 like-kind exchange. Here's how this double play strategy works
Sometimes, the IRS and employers clash over the classification of workers as independent contractors or employees. That's because if workers are employees, their employers have multiple responsibilities, including to withhold taxes and provide benefits. But classifying workers can be tough — and mistakes can be costly.
Good news: There's still time for small businesses to make some tax-smart moves between now and year end to lower their federal income tax bills this year. Plus, there probably won't be any significant unfavorable federal tax changes that will take effect in 2022. That means you can plan with greater certainty this year than last year. Here are some ideas to consider before New Year's Eve
Have you taken the time to evaluate your personal tax situation for 2022? Fortunately, the federal income tax rules haven't changed much from last year — and it appears that no major last-minute changes are in the works. So, you can plan with more certainty this year than in some past years. Here are several strategies to consider implementing before year end.
So you forgot to file your not-for-profit's Form 990, 990-EZ or 990-N with the IRS. It can happen — particularly with newer organizations that are still trying to get a handle on all the financial and regulatory requirements of running a nonprofit.
The Inflation Reduction Act (IRA) updates the credit of up to $7,500 for new clean vehicles and introduces a tax credit of up to $4,000 for the purchase of used electric vehicles (EVs). But several rules and restrictions apply, including limits on the prices of vehicles and the income of buyers. Here's what you should know if you're in the market to purchase a clean vehicle.
An IRA rollover is usually a tax-smart move if you leave your job. But you should be aware of certain federal tax pitfalls — and how to avoid them. In most situations, it's advisable to arrange direct transfers from company plans into IRAs. But there are some exceptions. Here's important information to consider if you're contemplating rolling over any sizable amount from your employer's qualified retirement plan(s).