Now that the effects of last year’s tax reform bill are being felt, the proposals to reform the reform keep rolling in. Last month, Sen. Bob Casey (D-PA) put forth a bill to reinstate unreimbursed job expenses. This week, Rep. Richard Nolan (D-MN) introduced H. R. 5662, also known as the Volunteer Driver Tax Appreciation Act of 2018.
The purpose of the bill is to amend the Internal Revenue Code of 1986 to equalize the charitable mileage rate with the business travel rate. For 2018, the Internal Revenue Service (IRS) optional standard mileage rates for the use of a car, van, pickup or panel truck are 54.5 cents per mile for business miles driven but a mere 14 cents per mile driven in service of charitable organizations. Read More
For those of you who may have to fork over some additional funds to Uncle Sam, there are several options available for making payments.
If you can’t pay your tax bill in full, a payment plan may be an option. Additional information about all payment and payment plan options can be found at www.irs.gov/payments and in Publication 5034, Need to Make a Payment? (English & Spanish).
The IRS also offers taxpayers the ability to pay using their mobile device through the IRS2Go app, available on the Apple or Google Play store. Read More
As CEO of TaxConnections, I want to personally credit our member Lisa Nason for her Calculator – Should You Lease Or Buy An Automobile? TaxConnections has many smart and resourceful tax advisors as members and Lisa is in Greenville, South Carolina is certainly one smart tax advisor.
We recently discovered a wonderful tool on Lisa Nason’s site and want to share it with our community. This Calculator Resource was devised to help you determine if it makes more sense to lease or purchase an automobile. Here is the link for you: https://www.nasonaccounting.com/calculators/BuyvsLease.html
We know you will find value with this resource and want to thank Lisa Nason for sharing it with our members. Have a question? Contact Lisa Nason
Many of you are wondering how the new tax rate changes will impact you. Obviously we can’t answer that off the top of our heads as each person’s situation is different, and in many cases experts are still trying to figure out how the changes will play out. One of the biggest changes is the corporate tax rate reduction to a maximum of 21% versus the maximum tax rate for individuals being around 37%. Read More
Most of you are aware that a new tax law was recently passed. Most of the changes relate to 2018 and beyond – here are just a few of the ones most like to affect individuals.
Standard Deduction Increased
For tax years beginning after Dec. 31, 2017 and before Jan. 1, 2026, the standard deduction is increased to $24,000 for married individuals filing a joint return, $18,000 for head-of-household filers, and $12,000 for all other taxpayers, adjusted for inflation in tax years beginning after 2018. No changes are made to the current-law additional standard deduction for the elderly and blind. Read More