October 17th marks the official late filing date for those taxpayers that filed Form 4868 back in April to request a six-month extension. In 2020, almost 12 million taxpayers filed Form 4868. That number increased to 13.5 million in 2021 and is estimated to be almost 19 million in 2022. This IRS continues to urge taxpayers to finish filing before the deadline as the returns are processed in a first in first out method. In late June, the IRS announced that it had finally fi

Business tax rules are different than individual tax rules, as I’m sure many reading this are well aware. This blog will share some payment plan options and other steps to remedy your situation. Streamlined Installment Agreement The IRS allows for active businesses that owe less than $25,000 to qualify for what’s called a Streamlined Installment Agreement (SIA). SIA’s essentially take your tax liability and divides it by either 72 months or less if the Collection Statute Exp

As the Federal Open Market Committee is set to meet on September 21, 2022, many economists are predicting another 75-basis point rate hike. This would mark the third consecutive significant hike in as many meetings. There are still two more meetings this year in November and December and we could see even more hikes if inflation continues to rise. Last month it was reported that the annual inflation rate in the United States had eased for the second straight month dropping f

Back in March, President Biden signed an executive order on governmental oversight of Cryptocurrency. In that order, he asked the Federal Reserve if the central bank should adopt and create its digital dollar. Biden’s top economic and national security advisors stated, “[this] Will position the U.S. to keep a leading role in the innovation and governance of the digital assets ecosystem at home and abroad, in a way that protects consumers, is consistent with our democratic v

Hurricane and wildfire season is upon us and as such September is National Preparedness Month. The IRS has released a helpful reminder for taxpayers to develop their plans. The IRS recommends that taxpayers secure critical documents which include; tax returns, birth certificates, deeds, titles, and insurance policies in a waterproof guaranteed space. You should also duplicate and scan documents for backup using either a flash drive or through a cloud-based server. Doing so

President Biden made Student Debt Relief a major priority during his campaign and made an announcement back in April that relief was on the way. Some members of Congress had called for $50,000 in student debt relief, but President Biden said, “I will not make that happen” and that he would only support up to $10,000 in relief. Finally, after months of waiting, President Biden announced his plan in late August to cancel $10,000 of student loan debt for non-Pell Grant recipie

Last week the IRS announced penalty relief for most taxpayers that were affected by the COVID-19 Pandemic. This relief will apply to taxpayers for the years 2019 and 2020 and will waive penalties provided that returns are filed on or before September 30, 2022. Banks, employers, and other businesses are also provided relief for return penalties for 2019 returns filed on or before August 1, 2020. For the tax year 2020, that deadline for relief was on or before August 1, 2021