Eligible educators can deduct unreimbursed expenses for COVID-19 protective items to stop the spread of COVID-19 in the classroom. COVID-19 protective items include, but are not limited to: face masks; disinfectant for use against COVID-19; hand soap; hand sanitizer; disposable gloves; tape, paint or chalk to guide social distancing; physical barriers (for example, clear plexiglass); [...]
The earned income tax credit can give qualifying workers with low-to-moderate income a substantial financial boost. In 2019, the average amount of this credit was $2,476. It not only reduces the amount of tax someone owes but may give them a refund even if they don't owe any taxes or aren’t required to file a [...]
The Internal Revenue Service urges employers to take advantage of the newly-extended employee retention credit, designed to make it easier for businesses that, despite challenges posed by COVID-19, choose to keep their employees on the payroll. The Taxpayer Certainty and Disaster Tax Relief Act of 2020, enacted Dec. 27, 2020, made a number of changes [...]
The Internal Revenue Service today reminds taxpayers that the fastest way to get their tax refund is by filing electronically and choosing direct deposit. Direct deposit is free, fast, simple, safe and secure. Taxpayers can even split their refund to have it deposited into one, two or three different accounts. Eight out of 10 taxpayers [...]
Can I Take Tax Deductions Without Itemizing? Maurie Backman, author who writes for The Motley Fool, writes great articles about finance benefits for social security, taxes, and other areas people can benefit. Her article of today indicates the simple way to look at your tax deductions without itemizing. As you may know already, the previous [...]
A new year means a fresh start. One way people can get the new tax year off to a good start is by checking their federal income tax withholding. They can do this using the Tax Withholding Estimator on IRS.gov.This online tool helps employees avoid having too much or too little tax withheld from their [...]
The Internal Revenue Service reminds businesses and other payors that the revised Form 1099-MISC, Miscellaneous Income, and the new Form 1099-NEC, Nonemployee Compensation, must be furnished to most recipients by Feb. 1, 2021. Redesigned Form 1099-MISC The IRS revised Form 1099-MISC for the 2020 tax year to accommodate the creation of a new Form 1099-NEC. [...]
I always say, let the professionals do what they are good at. Packey Law Corporation, we do taxes. Tax preparation, audit representation, resolution, business consulting and TAXES. We are professionals, so let us do your taxes. Cameron Huddleston writes an excellent article about why people should no longer do their own taxes. People contact our [...]
My typical blogs are direct news topics from IRS website. The articles posted are what I think our clients and most taxpayers need to know. This blog however highlights California taxes. If you are a California resident, you will understand why this post can make you feel a bit on the angry side. When searching [...]
The Treasury Department and the Internal Revenue Service issued guidance today allowing deductions for the payments of eligible expenses when such payments would result (or be expected to result) in the forgiveness of a loan (covered loan) under the Paycheck Protection Program (PPP). Today’s guidance, Revenue Ruling 2021-02, reflects changes to law contained in the [...]