United States | TaxConnections

03 Nov 2017

US Expats Renouncing American Citizenship – What You Need to Know

Americans living abroad are still required to file a US tax return, reporting their worldwide income, as well as obey the tax rules in the country where they live.

Many US expat have settled abroad permanently though, and they justifiably wonder why they must continue filing a US tax return every year, even if they don’t pay any US taxes because they claim one or more of the exemptions available to expats, such as the Foreign Earned Income Exclusion or the Foreign Tax Credit, when they file.

As a result, many US expats consider renouncing their American citizenship.

Written by Hugo Lesser | Posted in Expatriate • United States

02 Nov 2017

Update On The California Competes Tax Credit & Beneficiaries Thus Far

As the mainstream media wonders where Amazon will locate its HQ2, many states are in the news touting their credits and incentives benefits to draw in company expansions.

As I’ve reported before, the California Competes Tax Credit has been available since January 2014 and isn’t scheduled to sunset until 2025. Every year, the state earmarks funds for the program of approximately $200 million, and companies compete for the funds during three application periods per year.

Written by Monika Miles | Posted in State Tax • Tax Credit • United States

04 May 2017

Tax Principles For The Digital Age

At the start of the 21st century, I was involved with a project with the AICPA on tax reform. An outcome of our task force work was a set of ten principle of good tax policy. The goal was for lawmakers to apply these to both existing tax rules and proposals for change to identify where they did and did not meet the principles. Where not met, hopefully improvement could be made.

Written by Annette Nellen | Posted in United States

16 Mar 2017

Storm Extension – IRS Gives Extra Time To File Form 7004

We ran an article from John Dundon yesterday mentioning the deadline to file From 7004 was March 15th. If you have not been able to to file that form for an extension due to the storm, the IRS is deciding to grant you extra time.

Written by Kat Jennings | Posted in United States

28 Feb 2017

Congressional Tax Legislative Process And Contacting Members of Congress #3

This is the 3rd article in the TaxConnections Education Series on the Congressional Tax Legislative Process. This continues the legislative process education provided in previous articles (first article and second article), specifically on the TaxConnections Legislative Process that outlines the steps in the development of every tax proposal approved by the Congress.

Written by Thomas Kerester | Posted in United States

21 Dec 2016

21st Century Cures Act Signed By President Obama

President Obama signed the 21st Century Cures Act into law creating an option for small businesses to offer employees a health reimbursement arrangement (HRA) that is funded by the employer.

Beginning January 1, 2017, the maximum employees can receive per year through the HRA is $4,950 for individuals who show they have individual coverage or up to $10,000 for workers who also have coverage for family members. The contribution cap will be indexed for inflation.

Written by John Dundon | Posted in 2016 Tax update • Health Care • United States

21 Dec 2016

Tax Rules When Selling Your Home

How the gains from the sale of a primary residence are taxed has changed in recent years. If you have recently sold your home, or are considering doing so, you may want to be aware of some of these tax rules.

Written by Ronald Oddo | Posted in Family Tax • United States

19 Dec 2016

Hawaii – A Focus On Tax Climate And Credits

Aloha! This month we travel across the ocean to the island paradise of Hawaii. In the state, you can attend a luau to experience true Hawaiian culture, relax on the beach or hike in one of the many tropical forests or mountains.

Written by Monika Miles | Posted in State Tax • United States

19 Dec 2016

Employer EITC Notice To Employees – New CA Requirement!

Several states require employers to notify employees that they may be eligible for the federal (and perhaps also state) Earned Income Tax Credit (EITC). This year, California law was changed to require employers to also notify employees about the California EITC recently added to the law.

Written by Annette Nellen | Posted in Tax Forms • United States

16 Dec 2016

Prepare For The Tax Pendulum To Swing

One thing to be be thankful for this holiday season is that the tax ‘policies’ of President Elect Trump and our Republican friends in the 115th congress will keep tax accounts and bookkeepers gainfully employed well into the foreseeable future. In fact I am adding staff again, which ‘sounds’ great!

Is it good for the US though – from a wonky economic perspective – that tax practitioners are expected to be in high demand well into the foreseeable future? Perhaps, perhaps not.

Written by John Dundon | Posted in Donald Trump Tax Plan • Tax Reform • United States

15 Dec 2016

ACA Taxes Generate More Revenue Than AMT

In reviewing some IRS stats for 2014 returns, I was surprised to see that two taxes added by the Affordable Care Act (Obamacare), generated more revenue in 2014 than was generated from the individual AMT. Here are the stats:

Written by Annette Nellen | Posted in ACA • United States

14 Dec 2016

Washington’s Minimum Wage Hike: What Do You Need To Know?

Last month’s election results included more than determining the next president and allowing recreational marijuana in California; states across the country also passed legislation changing employment laws – specifically minimum wage and sick pay. I thought it would be interesting to take a look at one of these states (one of our neighbors to the north): Washington.

Written by Monika Miles | Posted in State Tax • United States