If you are a business owner with no employees and prefer Roth-style retirement savings, you may want to consider the mega backdoor Roth strategy. This powerful tool allows you to contribute significantly more to a Roth account than the standard Roth IRA or even the regular backdoor Roth route—up to $70,000, or $77,500 if you’re… Read More
If you have inherited (or may someday inherit) an individual retirement account (IRA), the 2025 changes may significantly impact your tax planning. Key Updates RMD requirements. Starting in 2025, annual required minimum distributions (RMDs) are mandatory for most inherited IRAs. Failure to comply may result in penalties of up to 25 percent, reducible to 10… Read More
Here’s a short note on your payments of corporate expenses. Your Corporation Is a Separate Legal Entity As a business owner operating through a corporation, you need to remember that the corporation is a distinct legal entity separate from you. Avoiding Costly Mistakes If you incur expenses related to business travel, meals, lodging, or mileage… Read More
The federal tax law provides relief if a disaster—such as a fire, flood, or hurricane—damages your personal (non-business) property, including your home, belongings, and vehicle. You may be able to deduct these losses from your taxable income, but the rules are complex and often restrictive. Recent changes to the law have expanded eligibility, allowing more… Read More
Because you operate your business as a solely owned corporation (C or S) with no employees, several excellent retirement plans are available to you that can provide significant tax deductions and help you build wealth for retirement. Some of the best options include: SEP-IRA. Easy to set up and allows employer contributions of up to… Read More
Here’s a short note on your payments of corporate expenses. Your Corporation Is a Separate Legal Entity As a business owner operating through a corporation, you need to remember that the corporation is a distinct legal entity separate from you. Avoiding Costly Mistakes If you incur expenses related to business travel, meals, lodging, or mileage… Read More
Here’s an idea: how about transforming your next vacation into business travel? With careful planning, your transportation to any destination could be fully deductible. This includes airfare-even first-class-luxury hotel stays, and cruise expenses. If you can tie your travel to business purposes, you can enjoy substantial tax savings, depending on your tax bracket. Two Main… Read More
If you’ve been affected by a disaster (wildfire, hurricane, etc.), various tax relief programs are being offered from IRS and state governments. Here’s a page on IRS website where you can check your area: https://www.irs.gov/newsroom/tax-relief-in-disaster-situations The new 1099-K rules will result in more people receiving 1099’s related to the sale of personal items (selling your old… Read More
February 27, 2025 – The Financial Crimes Enforcement Network (FinCEN) announced that it will not impose fines, penalties, or other enforcement actions for failures to file or update beneficial ownership information (BOI) reports under the Corporate Transparency Act (CTA) by the current March 21, 2025 deadline. This enforcement pause (penalty-free period) will remain in place… Read More
If you’ve recently been billed by the IRS with the claim that you owe a penalty for late filing, late payment, or missed employment tax deposits, I urge you to pause before making any payment. You may not have to pay that penalty at all. The IRS often imposes steep penalties for filing tax returns… Read More