Taxpayers can transfer substantial amounts free of gift taxes to their children or other donee each year per person through the proper use of the annual gift exclusion. The current year exclusion amount is $16,000 and rises to $17,000 in 2023. Even gifts that are not covered by the annual exclusion, that may be considered… [Read More]
The state-sponsored New Hampshire Paid Family & Medical Leave insurance plan (“NH PFML”) is available for all employers and eligible employees. This plan allows employees to purchase PFML insurance that grants them a 60% wage replacement for up to six weeks per year for absences from work related to certain life events including serious health… [Read More]
On Nov. 15, 2021 The Infrastructure Investment and Jobs Act of 2021 (IIJA) was signed into law. The IIJA includes requirements for the reporting of cryptocurrency exchanges using intermediary Form 1099 reporting. Generally, these rules will apply to digital asset transactions starting in 2023. As you know, if you have a stock brokerage account, then… [Read More]
On September 24, 2019, the U.S. Department of Labor announced a final rule regarding overtime which will expand the list of employees eligible for overtime. Previously, “blue-collar” workers and professionals who earned less than $23,000 a year would earn overtime pay2019.10.01 New Overtime Rules (time and a half for hours worked over 40 per week).… [Read More]
In a statement (IR-2019-132) issued on July 26, 2019, the IRS announced that it would be sending letters to taxpayers who may have unreported income relating to virtual currency transactions, or who may not have reported the transactions correctly on previously filed returns. In this statement, Charles Rettig, the IRS commissioner, encouraged all taxpayers to… [Read More]
Recently the IRS released additional guidance on a large number of issues related to the Qualified Business Income (QBI) Deduction (Section 199A). This deduction allows certain taxpayers who have flow thru businesses (S Corporations, partnerships, sole proprietorships) to take a 20% deduction on the related income. To qualify, the activity has to rise to the level of a trade or business. Question: is rental activity a trade or business?
A long, long time ago (well, 2015), a Republican Congress enacted and President Obama signed the Bipartisan Budget Act of 2015. One feature of that legislation was the enactment of new IRS audit rules for partnerships. The effective date was set as January 1, 2018. Now, with preparation of the 2018 tax returns, the time has come to talk again about the impact of these rules.
June 28, 2018 In a 5-4 vote and an opinion written by Justice Kennedy on June 21, 2018, the US Supreme Court decided South Dakota v. Wayfair, Inc. Basically, this opinion states that physical presence is not a necessary requirement in determining nexus rules (i.e. whether a business has a connection to a state). The… [Read More]