Blogs

Preparing taxes requires knowledge of tax credits, tax deductions, qualifying factors and tax laws. It is the complexity of tax preparation that leads many people to hire professional services for tax return preparation. Apart from the tax knowledge, you also need to plan your taxes, and keep your receipts and tax documents organized. After filing... Continue reading →

As many as fifty-five tax breaks expired in 2013. Many of these were initiated by the Bush administration and were supposed to expire earlier, but were extended by Congress. Some of the notable tax breaks to expire in 2013 include the tax credit for research and development and renewable energy tax credit.The tax deduction for... Continue reading →

After the Supreme Court struck down the Defense of Marriage Act (DOMA), same-sex married couples became eligible to file taxes jointly. As a result, same-sex couples preparing their taxes in the upcoming tax season, will have to brave all the challenges that come along with it.Many U.S. states, including California, Delaware, Hawaii, Illinois, Iowa, Massachusetts,... Continue reading →

Taxes are complicated for same-sex couples. Certain states now  recognize same-sex marriage, but there are still others that do not. For tax purposes, if a couple moves from a state that recognizes same-sex marriage to a state that does not, their marriage is still recognized and they can file jointly. They must be married in... Continue reading →

The tax season is the time when the IRS is the busiest. The agency has complained about the lack of staff, but the Treasury Inspector General for Tax Administrator (TIGTA) found in its 2013 report that the IRS processed tax returns and issued refunds on time in 2013 in spite of the delay in the... Continue reading →

The TIGTA has reported that the IRS, in spite of the delay in the start of the tax season, processed tax returns and issued refunds on time. At the beginning of 2013, the IRS had to delay the tax filing season because of the enactment of the American Taxpayer Relief Act. This left the IRS... Continue reading →

Starting 2014, foreign financial institutions (FIIs) in countries that have FATCA agreements will be required to report to the IRS. Countries that have FATCA agreements with the United States include France, Switzerland, Norway, Ireland, Mexico, Denmark, Spain and Germany. FFIs in these countries are required to register with the IRS. In an effort to increase... Continue reading →

Americans living abroad will now need to take extra care with their tax responsibilities because the IRS is focused on tax compliance of American taxpayers living overseas, as well as foreign financial institutions (FIIs) in countries with which it has struck a FATCA agreement. Taxpayers living overseas will need to report their income from all... Continue reading →

U.S. citizens are required to report assets in foreign countries to the IRS by law. Noncompliance can result in penalties and/or imprisonment. Any unreported assets in bank accounts or financial entities can lead to trouble with the IRS even if the taxpayer did not intend to break the law.The Foreign Account Tax Compliance Act (FATCA)... Continue reading →

The IRS has opened a new online Foreign Account Tax Compliance Act (FATCA) registration system to make it easier for financial institutions to register. Under FATCA, foreign financial institutions are required to report financial accounts held by U.S. taxpayers or foreign entities in which U.S. taxpayers hold a substantial ownership interest. This transparency will assist... Continue reading →