In an attempt to return to normalcy, the United States is excited for the kickoff of the 2020 NFL Season. While only an extremely small number of people will attend the game in-person, millions will be watching from the television, laptop, or tablet around the world. While COVID has slowed down a lot of the world, it hasn’t stopped the gamblers and fantasy sports fanatics in the United States. If you are “smart” (lucky) enough to select the right players/bets, you’ll pocket some cash. However, take note that the Internal Revenue Service may be entitled to a portion of those winnings. In case you didn’t know, fantasy sports and gambling winnings are both taxable; whether obtaining legally in
Employers should pay close attention to their eligibility with regards to the Employee Retention Credit. Eligible employers can claim the credit for wages paid between March 12, 2020 and January 1, 2021. Most importantly, the credit is fully refundable. The Employee Retention Credit is a fully refundable tax credit for employers equal to 50 percent of qualified wages (including allocable qualified health plan expenses) that Eligible Employers pay their employees. This Employee Retention Credit applies to qualified wages paid after March 12, 2020, and before January 1, 2021. The maximum amount of qualified wages considered with respect to each employee for all calendar quarters is $10,000, so
This is a common question that we often get from taxpayers. They had a hard couple of years, went into tax debt, and now owe the IRS a lot of money. Luckily, however, they are on an installment agreement or payment plan. However, what they may not have realized is that by entering that agreement or plan, they signed all rights away to future tax refunds for the time being. One of the conditions of your installment agreement is that the IRS will automatically apply any refund (or over-payment) due to you against taxes you owe. Because your refund isn't applied toward your regular monthly payment, continue making your installment agreement payments as scheduled. If your refund exceeds your tot
You have several options for receiving your federal income tax refund. You can split your direct deposit refund among two or three different accounts, with up to three different U.S. financial institutions, direct deposit your refund into a single checking or savings account, receive your refund in a paper check. If that doesn’t intrigue you, then you can buy up to $5,000 in U.S. Series I Savings Bonds with your refund. With split refunds, you have a convenient option for managing your money — sending some of your refund to an account for immediate use and some for future savings — teamed with the speed and safety of direct deposit. It’s a win-win. A split refund lets you divide your refund
Now that you have been introduced to the list from part one of this two-part blog series, we can dive into the specifics of the list and the “why” behind some of the categories. Background Data and Why it Matters. People often underestimate the background data section and its importance. The first item on the list is, “A statement as to the objective and purpose of the valuation and/or succession plan.” The “why?” matters here. Not all clients will want the same things when planning their exit as everyone is in a different situation. One individual may be organizing their estate in preparation of retirement, where others may focus on strategically transferring their wealth to their child
