CPA Miami

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Can You Lose Your Passport If You Don’t Pay Taxes? — Travel + Leisure A passport is a wonderful privilege that opens up the opportunity for international travel — but it's very much a privilege, not a right. That means it can be taken away from you, which could happen if you don't pay your taxes.

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IRS penalties on American taxpayers surged nearly 300% last year — Fox Business The IRS said that it levied a record $7 billion in penalties against taxpayers last year, mostly targeting individuals who underpaid heir estimated taxes.

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IRS: Time to claim $1 billion in tax refunds from 2020 expires May 17 — CNBC There is still $1 billion in unclaimed tax refunds from 2020, but the deadline to collect your payment is approaching. Here's what late filers need to know.

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Your tax return is secret by law. TurboTax wants you to give up your privacy. — The Washington Post “We just need your OK on a couple of things,” TurboTax says as you prepare your tax return. That’s your red flag to watch out.

Just saying

Your tax return is secret by law. TurboTax wants you to give up your privacy. — The Washington Post “We just need your OK on a couple of things,” TurboTax says as you prepare your tax return. That’s your red flag to watch out.

Taxpayers 73 years old and older must make required withdrawals from retirement plans by Dec. 31st

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How to File Back Taxes — Money Get refunds you're owed, avoid penalties and put your income info on file with the IRS.

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Here’s why the IRS would want to audit your taxes — Yahoo Finance If you’re too aggressive with certain tax deductions or credits, that could trigger an audit from the IRS. Here are the most common reasons for an audit.

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IRS Changes in Play for 2022 Tax Season — TheStreet In some ways, the pandemic relief party is over for some taxpayers.

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What happens if you just don’t file your taxes? — Mic My 2020 bank statements tell a story, and it’s kind of a bummer. The first four months of the year were flush with semi-regular cash infusions from my former full-time employer. In mid-April, after the pandemic just about demolished what was left of…

Treasury secretary announces 90-day delay in tax payment deadline Treasury Secretary Steven Mnuchin announced that individuals and businesses can delay their tax payments for 90 days due to the coronavirus pandemic.

Retirement plan contribution limits increase for 2020

The IRS said Wednesday that the limit on elective deferral contributions to Sec. 401(k) plans, Sec. 403(b) plans, most Sec. 457 plans, and the federal government’s Thrift Savings Plan will increase from $19,000 in 2019 to $19,500 in 2020. The catch-up contribution limit for those 50 and older will increase to $6,500 from $6,000 in 2019 (Notice 2019-59). Most other inflation-adjusted amounts related to pensions will increase from 2019 to 2020.

The maximum deductible individual retirement arrangement (IRA) contribution for 2020 will stay the same at $6,000. The ability of taxpayers who are covered by workplace retirement plans to make a deductible IRA contribution will phase out for singles and heads of household who have adjusted gross incomes (AGIs) between $65,000 and $75,000, a slight increase from last year.

For married couples filing jointly, where the spouse who makes the IRA contribution is covered by a workplace retirement plan, the income phaseout range will be $104,000 to $124,000 for 2020. These amounts also increased slightly from 2019. When an IRA contributor is not covered by a workplace retirement plan but is married to someone who is, the deduction will be phased out if the couple’s income is between $196,000 and $206,000, also an increase from 2019.

For taxpayers making contributions to Roth IRAs, the phaseout range for determining the maximum contribution will be $196,000 to $206,000 for married couples filing jointly and $124,000 to $139,000 for singles and heads of household. These limits were all increased from 2019.

The AGI limit for the saver’s credit will be $65,000 for married couples filing jointly, $48,750 for heads of household, and $32,500 for single taxpayers and for married individuals filing separately, all increases from 2019.

Who likes taking year-end inventory? No one I know. Did you know there are new tax laws that can help get you out of this. As with most components of the Code, these new provisions are anything but simple. However, the TCJA generally provides that businesses with less than $25 million in gross receipts can now opt out. The law known as the Tax Cuts and Jobs Act (TCJA), P.L. 115-97, which generally took effect in 2018, provides welcome simplifications for small business taxpayers. Opt out and treat inventories as nonincidental materials and supplies or use an inventory method that conforms to their financial accounting treatment of inventories (Sec. 471(c)).

Sec. 199A QBI deduction: Who doesn't like telling clients they can get a 20% deduction? The qualified business income (QBI) deduction can allow CPAs a bit of vicarious satisfaction.

"After discussing the new rules with clients, I was able to identify planning opportunities to increase the wage and property limitations and therefore the QBI deduction for the 2020 tax preparation season,". If you’re a small business owner and you’re not taking advantage of this, you’re missing the boat here.

Regardless of where the family winds up settling, one thing is for certain: Meghan is still required to file and pay U.S. taxes as an American citizen — and so will the couple’s son, Archie. Further, she’ll report her interest in foreign bank accounts or pay a huge penalty.

Royal status notwithstanding, the Duchess and her child are in the same situation as roughly 9 million Americans who are residing in foreign nations.

“Whether they’re settling in the United Kingdom or in Canada, the situation isn’t going to change for Meghan; she is a U.S. citizen,” said Gideon Rothschild, a partner at Moses & Singer in New York. “She files a return every year and pays taxes on worldwide income.”

IRS Urges Travelers Requiring Passports to Pay Their Back Taxes or Enter into Payment Agreements; People Owing $51,000 or More Covered | Internal Revenue Service

irs.gov IR-2018-7, Jan. 16, 2018 — The Internal Revenue Service today strongly encouraged taxpayers who are seriously behind on their taxes to pay what they owe or enter into a payment agreement with the IRS to avoid putting their passports in jeopardy.