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The Plot Thickens

Hi, everyone! I think I am finally recovered from tax season. Today the IRS released a new W-4 form to more accurately reflect the amount of tax liability that you will have during 2019. You can view the new form here. Although the first page does not look very different, the worksheets that accompany the form are a bit more…

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Let’s talk about 2019

There are only 3 weeks left until the April 15th filing deadline. It has been a busy season with mixed results for some clients. I think that it is safe to say that the 2017 Tax Cuts and Jobs Act has proven to be as far reaching as it was promised. While the results are not always expected, they are…

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Update

Wrestling with Results

It has been a very interesting three weeks since the IRS opened the e-filing season. We are seeing varied results compared to last year and generally those results are less money coming back to clients as refunds. This causes a state of bewilderment and frustration to those who traditionally count on their refund for certain expenses. We understand that the…

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Pardon the interruption…

My free advice from last Friday: do not think that you can clean, sort, organize, and move an entire household in three days while prepping for the first 16 day stretch of your tax season work-cation. It does not work well. This Friday finds me in one location and enjoying meeting with our amazing clients while doing the work that…

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What to expect on your W-2

Our office not only prepares tax returns, but we also do accounting and payroll work for small businesses throughout the Battle Creek area. We are just finishing up the year-end rush to complete hundreds of W-2 and 1099 forms. Now, the phone will start ringing as employees begin to get the results of their tax returns. We will get everything…

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Bracket vs. Effective, huh?

Every industry has their own jargon; their own foreign language. Using everything from buzzwords and phrases like “dive deep” or “put a pin in it” to legalese like “prima facia” and “ipso facto,” professionals expect you to understand what they are talking about. The tax world is no different. Bifurcating the depreciation versus taking a Section 179 deduction are words…

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Looking for Deductions, Aye?

One of the continuing education instructors that I really enjoyed this past fall called the Schedule A an endangered species. The Joint Committee on Taxation reported that in 2017 46.5 million tax returns claimed itemized deductions and they are estimating that itemizers will drop to 18 million in 2018. This is a full 60% decrease in Schedule A filers. Before…

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Midweek Mayhem!!

As most of you know, the IRS has been asking tax professionals to ensure that credits and tax benefits are only given to those who qualify. In our case, that means asking our clients (some who have known me since I was a lot shorter than I am now) for additional documentation for our files. Well, I think it is…

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TJCA

No Exemption, But More Credits

I have spent hours reviewing the Tax Cut and Jobs Act (TCJA) and the conclusion that I have come to is that it is far from simple. Anytime I face such an overwhelming change in the way that I am used to doing things, I tend to dig in my heels and make it far more difficult than it needs…

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Buckle Up, Buttercup!

As I write this post, it is being reported that 90% of the IRS employees have been furloughed due to the current government shutdown. The funding bill will be put to the new Congress on January 3rd and we will have to wait and see what happens. Back in September, the Treasury Inspector General for Tax Administration (TIGTA) released a…

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