In this episode: We review itemization rules and strategies for 2022 returns. Tax season will end on April 18, 2023, but don't leave your preparer in a bind by waiting until the last minute. Certain digital currency and digital asset transactions are taxable. Make sure you know what to report. IRS interest rates are on the rise for 2023. Also, Carly Horton, the Area Operations Manager for the Delaware Department of Labor Division of Employment & Training, talks to us about some amazing oppor...
Dec 16, 2022•25 min•Ep. 56
In this episode: The tax-gap is on the rise. Here what the IRS says is the cause and how they intend to correct course. 1099 deadline is on January 31, 2023. 1099-Ks: There are new filing requirements for 3rd party payment businesses such as Venmo and Paypal. Estate and Gift Tax Exclusions will be more in 2023. We also hear from Lincoln Willis, Chief Strategist and owner of The Willis Group, LLC . He speaks about his path to becoming a lobbyist in the State of Delaware, his experiences advocatin...
Dec 02, 2022•38 min•Season 3Ep. 55
In this episode: The many benefits of having an HSA (Health Savings Account). Equipment purchased prior to year end must be placed in service prior to January 1, 2023 to be a tax benefit. The IRS still has a substantial backlog. If you haven't filed yet, you should do so immediately to avoid filing a paper return. We also hear from Keith Irwin at Old World Breads Bakery in Lewes, Delaware. Hear about his amazing history in the culinary industry, his family run business, the ups and downs of runn...
Nov 18, 2022•35 min•Season 3Ep. 54
In this episode: Tax Planning tips for the end of 2022. Charitable giving for tax savings. Opportunities to offset tax on stock gains. Inflationary increases for retirement plans have been released. We also hear the story of Nathan Mueller, who after a year of temptation, succumbed to the draw of stealing from his company, ING. He started small and before you know it was stealing MILLIONS every year. Find out how he took more than $8 million from his company before he was finally caught....
Nov 04, 2022•20 min•Season 2Ep. 53
In this episode we discuss: Electronic vehicle credit qualifications have been further defined with remarkable limitations. There are new proposed regulations for inherited IRA payouts. IRS scams and aggressive attempts surrounding COVID relief funds are on the rise. The latest information has been released on the taxation of the marijuana industry. We also hear from Dawn Ehman, owner and operator of YogaVibez Studios and OC SUP & Fitness. She lets us in on how she went from a career as an a...
Oct 21, 2022•34 min•Season 2Ep. 52
In this episode we discuss: The IRS is offering a Form 1023-EZ for nonprofits to apply for nonprofit status. Payroll Protection Program funds that were received because of fraud may be taxed as taxable income. New per diem rates have been defined for 2023. Many taxpayers are still waiting for COVID relief funds to arrive via Form 941X. Many businesses that needed relief from these funds are still waiting over nine months after their application. The IRS has big plans for their 80 billion in extr...
Oct 07, 2022•38 min•Season 2Ep. 51
In this episode we discuss: Forgiven student loans are not taxable on a federal level, but your state/locality may be different. The IRS has announced that they will give relief for the failure to file penalty for 2019 and 2020 returns. The IRS is enhancing focus on compliance for Subchapter – S and Partnerships. Expect enhanced questioning regarding virtual currency on 2022 Individual Tax Returns. Erroneous IRS Notices Did you know that the FBI estimates 10% ($80B) of all PPP funds were taken b...
Sep 09, 2022•24 min•Season 2Ep. 49
In this episode we discuss: The Inflation Reduction Act has passed. There are energy improvement credits available. The electric vehicle credit has been revamped. The IRS has been given additional funding for improved customer service and agents. There are small business startup funds available for qualifying research and development costs. Passthrough entity taxes are due 9/15. We also hear from our guest, Kristin Garramone, of Roma Italian Ristorante and Sul Tempo Cocktail Lounge. She tells us...
Aug 26, 2022•40 min•Season 2Ep. 48
In this episode: The IRS is keeping a watchful eye on cryptocurrency transactions. Make sure you know your facts. Additional childcare covid relief is now expired. Have you planned for your 2022 tax return accordingly? Are you donating a car or large item? Know what is required for your taxes. The Inflation Reduction Act is moving through government channels. Are you using propane in your work vehicles or equipment? Make sure your preparer is aware. There's a tax credit for that. Substantial pen...
Aug 12, 2022•37 min•Season 2Ep. 47
In this episode: The Build Back Better Bill (BBB) is currently being held from passing as-is. The IRS assessed 37.3 billion returns for civil penalties in 2021. US Citizens working overseas must still pay US taxes, although some specific situations may be excluded. There are currently 9.3 million paper returns from 2021 awaiting IRS review. The State of Delaware recently passed a bill allowing for additional tax savings for Delaware residents retiring from the military. Our guest this week is Ka...
Jul 29, 2022•1 hr 28 min•Season 2Ep. 46
In this episode: The IRS will start using voicebots for incoming calls regarding collections with plans to expand its usage. New Overtime Rules will potentially be released this fall. If cryptocurrency is being used it triggers a taxable event. The IRS is cracking down on these transactions. We review new policy proposals from the Biden Administration. Now is the time to organize your tax records and QuickBook files. Your CPA will be able to help you with tax planning. There's not much that can ...
Jul 15, 2022•26 min•Season 2Ep. 45
In this episode: We review the Wash Sale Rules for stock. We discuss the nuances you should be aware of regarding Capital Gains Tax. If you want to elect portability, you MUST file an Estate Tax Return. The annual gifting amount of $6,000 can be placed directly into an IRA for a child, IF that child is earning income. Bank accounts in foreign countries MUST be disclosed to the IRS. Hiring your child is a great tax strategy. We also hear from our guest, Pastor Jamillah A. Mantilla, Ph.D., MBA. Sh...
Jul 01, 2022•42 min•Season 2Ep. 44
In this episode: The mileagereimburesement rate is set to rise to 62.5 cents per mile on July 1 – a 4 cent per mile increase. We discuss the rules for an inherited IRA 10-year payout. Non-cash donations valued at $250 or higher follow special rules for tax returns. The Social Security Wage Gap. Our guest is Jess Giangrant, owner and baker of Wild Belle Cakery in Dover. https://www.facebook.com/wildbellecakery She offers some great tips on work/life balance and the importance of budgeting time as...
Jun 17, 2022•31 min•Season 2Ep. 43
In this episode: Lifetime in gift tax exemptions are $12,060,000 for 2022, due to be reduced to $5M after 2025. The IRS will increase interest rates at the end of Quarter 3 this year. Form 1023-EZ returns are being abused and overused for nonprofit organizations. Lawmakers are discussing rescinding. The proceeds from lawsuits from physical injuries may not be taxable. The IRS destroyed 30M paper filed returns. We also tell the story of Billy McFarland and his Fyre Festival disaster....
Jun 03, 2022•33 min•Season 2Ep. 42
In this episode we discussed: Secure Act 2.0 has been passed by the House and will go to the Senate later this year. The IRS is taking a much closer look at real estate loss deductions. The IRS paper filing system is significantly outdated and has a 22% error rate from human en try error and dramatically adds to the backlog. Our guest this episode was Cesar Vargas of C. Vargas Construction. He owns a custom stonework business in Sussex County and spoke about moving from a contract employee (send...
May 20, 2022•26 min•Season 2Ep. 41
In this episode: The current IRS backlog times. How long should you hold onto your tax documents. The importance of paying estimated taxes. Good bookkeeping practices. Our guest is Jess Moyer, of The Icehouse Wellness and Community Center, who discussed being an author, juggling home and work, how she knew it was time to start a business, and how her business has thrived. She also speaks on working through pain and personal grief....
May 06, 2022•43 min•Season 2Ep. 40
In this episode:* The IRS is hiring more agents and taking a closer look at Partnership returns. There are situations that allow you to prorate the gains on the sale of your home. President Biden is pushing for higher taxes for high-net-worth individuals. Each Delawarean resident will receive $300 to help with the high gas prices. We are joined by Laura Garofoli, owner of Lean on Me Caregiving and Lean on Me Nursing. She discusses opening her business, how she was awarded the Delaware EDGE Grant...
Apr 22, 2022•37 min•Season 2Ep. 39
In this episode: Secure Act 2.0 has been passed by the House and is now on to the Senate. Look for updates on Required Minimum Distribution, Charitable Giving, Employer Benefit Plans, lowering the Excise Tax and more. There are issues with some taxpayers being required to give back refunded amounts due to the Premium Tax Credit. If businesses are considering buying large assets, they may want to get the purchase in during 2022 to receive the full Bonus Depreciation. The State of Delaware has int...
Apr 08, 2022•28 min•Season 2Ep. 38
In this episode: States with budget surpluses are trying to decide what to do with extra funds resulting from Federal COVID relief. MD will suspend gas tax for the next 30 days to help with rising gas April 18th is Federal Income Tax Day! prices. April 18th is Federal Income Tax Day! Please remember an extension allows you to file at a later date, it does NOT give you an extension of time to pay without penalty or interest. The IRS claims that their “pandemic backlog” in processing returns will ...
Mar 25, 2022•46 min•Season 2Ep. 37
In this episode: Gas taxes may be suspended (probably at the state level) to mitigate the cost of rising gas. Bi-Partisan support exists to delay the narrowing of the Research and Development Credit. We offer some important tips for retirees. There are many legitimate ways to use 529 plan withdraws. The costs of special education may qualify as a medical expense. Also – Be on the lookout for AirBnB scams. Know what they look like and how you can avoid them....
Mar 11, 2022•24 min•Season 2Ep. 36
In this episode we discuss: S-corps or Partnerships may have added Form K-2 and K-3 requirements if there are any foreign income. 2022 inflation adjustments for some deductions and credits. Allowable contribution amounts for 401Ks have increased. Roth and Traditional IRA information. We also focused on scams: Venmo Scams Pet Adoption Scams Work From Home Scams Work Email Scams Kidnapping Scams...
Feb 25, 2022•30 min•Season 2Ep. 35
In this episode: Another wave of IRS notices has been distributed regarding tax returns incorrectly marked as missing. There are situations where you can withdraw from your IRA before 59.5yo without penalty. There are possibilities to deduct part of your personal tax preparation fees on your business return. There are possible gain exclusions on sale of stock. We also hear from Karen Sposato of Sposato Wine and Sposato Family Vineyards about what it takes to start a successful winery and work as...
Feb 11, 2022•47 min•Season 2Ep. 34
This episode highlights: The IRS expects further delays for taxpayers as we head into tax season. Taxpayers are encouraged to file early and electronically to avoid major delays in processing. The Advanced Child Tax Letter: Letter 6419 that was sent out by the IRS may not be correct, as it was sent out the day BEFORE the last payment. Please use your bank accounts to confirm what you were actually given to avoid further delays in processing. The IRS encourages taxpayers to apply for a PIN to red...
Jan 28, 2022•45 min•Season 2Ep. 33
In this episode: The Build Back Better Bill has yet to be finalized. The Child Tax Credit will revert to pre-2021 rules. Many tax incentives were set to expire at the end of 2021. The Social Security wage base has increased. 401K contribution limits will increase. The allowable limits for Gift Tax amounts will increase. Our guest this week is Linda Parkowski from Choose Central Delaware . Tune in to hear how her team of 2 is driving economic development in Delaware....
Jan 14, 2022•32 min•Season 2Ep. 32
In this episode: The increase in mileage rates for 2022. The Premium Tax Credit repayment has been extended. The Build Back Better Bill will not be passed by year-end. Look for a revised version in 2022. Before you donate, check online for an organization’s tax-exempt status, even if it’s one you’ve donated to before. Front-loading donor advised funds is a great tax strategy for gifting. Doug Woods, from 302 Aquaponics , tells us about his hydroponics operation, working on getting the word out a...
Jan 01, 2022•39 min•Season 1Ep. 31
In this episode: Reminder of Net Investment Income Tax impact and the potential expansion proposed in the Build Back Better Bill. Child Tax Credit recipients need to look for Letter 6419 to turn in with their tax paperwork. Those business owners that took advantage of the deferred Social Security tax need to pay half of the amount due by December 31, 2021 and the remainder by December 31, 2022. IRS notices of payments due are being sent out that don’t always equal half the amount deferred so ple...
Dec 17, 2021•45 min•Season 1Ep. 30
Updates: The Build Back Better Bill is offering enhanced electric vehicle credits. Large adjustments to the taxability of Social Security Benefits are being proposed. IRS notices are being sent out regarding employer ID numbers (EINs) no longer being considered valid. There is a proposal to cap Like Kind Exchanges or no longer include real estate. Medicare participants can not participate in HSAs, but may be able to use it on monthly premiums. The IRS is reporting there is currently a wait time ...
Dec 03, 2021•37 min•Season 1Ep. 29
In this episode: Tax planning tips: Accelerating itemized deductions Tips for taxpayers over 72 years old Gifting stocks to charitable organizations Importance of Estimated Taxes and understanding Safe Harbor Update on the tax implications in the Infrastructure Bill Cryptocurrency rules for taxation We also have guest speaker, Evans Armantrading, Jr from CNU Fit, on to discuss his business, how he was able to pivot during COVID, the power of planning and how to grow a career-driven team....
Nov 19, 2021•42 min•Season 1Ep. 28
In this episode: An update on current legislation proposals State and Local Tax (SaLT) is being challenged in many states Tax planning tips regarding charitable gifting We also hear from Dr. Eunice Gwanmesia. https://www.dreunicespeaks.com/ She is the Chief Executive Officer of Eunity Solutions, a multidimensional consulting company focused on helping business leaders who lack the understanding of the power of diversity and inclusion to create inclusive workplace culture where everyone thrives. ...
Nov 05, 2021•32 min•Season 1Ep. 27
In this episode: It's time for tax planning! Make your appointment now to minimize your tax liability. Here are some tax planning strategies. Social Security recipients will see a 5.9% increase. Make sure your college student is providing you with their Form 1098T! Those who qualified for the DE Relief Grant have until the end of the year to use and apply for forgiveness. Current issues with PPP round 2 forgiveness. We talk with Erin Thwaites from Bel Boutique and The Looke about what it looks l...
Oct 22, 2021•41 min•Season 1Ep. 26
