Worried About Inflation? Good News – The IRS Is Raising Its Optional Standard Mileage Rate For The Rest Of 2022
On June 9th, the IRS announced an increase in the optional standard mileage rate for the rest of 2022. Due to the effects of inflation and the increase in gas prices across the nation, the standard mileage rate for business travel will now be increased to 62.5 cents per mile traveled, which is 4 cents […]
The S-Corp Secret: Why S-Corps are Perfect for Small Businesses
We’re gonna let you in on a little secret. Let’s say that, during the pandemic, you started up an online consulting service to make some income on the side. You probably weren’t expecting to start raking in six figures right off the bat, so it would have made sense to set up your business as […]
Paycheck Protection Program (PPP) Amended to Include Businesses with Less than 20 Employees
A new policy directive from the Biden administration qualifies a whole new set of businesses for Paycheck Protection Program (PPP) Loans. In the past, if you operated your business as a sole proprietorship, or employed less than 20 workers, then the old PPP standards left you out. Not anymore. For limited time only, the Small […]
Everything You Need for the 2020-2021 Tax Season
Tax season is here. But with major paper delays and a giant backlog of unopened returns at the IRS, as well as several COVID-19 stimulus payments to account for, 2021 is set to be another unusual year for taxpayers. Even during “normal” years, taxes are inherently stressful. This tax season could be even harder thanks […]
Bitcoin & The IRS: Here’s What Your Cryptocurrency Holdings Mean for Tax Season
“Trust me,” your weird nephew said. “Bitcoin’s gonna be huge.” It was 2010. You probably laughed off the suggestion. Back then, after all, it took 5,000 Bitcoins to buy a large pizza. But maybe, just maybe, you listened and bought into crypto early. If so, good for you. Bitcoin has exploded in value since its […]
Business Meals are 100% Deductible in 2021 and 2022
Last Updated: February 24, 2022 Go ahead, schedule that lunch meeting. Business meals are 100% deductible in 2021 and 2022. The new policy comes as part of the Consolidated Appropriations Act, 2021 (CAA, 2021), a bill that combines the $900 billion COVID-19 stimulus package signed in December with a larger omnibus spending plan for the […]
Can W-2 Employees Deduct Work-From-Home (WFH) Expenses on their 2020 Tax Returns?
Recently, I’ve had several W-2 clients call with the same question: can I deduct my work-from-home expenses from my taxable income? The COVID-19 pandemic has led many of us to work-from-home (WFH) in order to protect ourselves and our co-workers. That means we’re incurring expenses we wouldn’t normally pay in an office setting: electricity, internet, […]
Bet on GameStop (GME) Stock? Here’s How Your Earnings (or Losses) are Taxed
Millions of Americans took to the markets this week and took on Wall Street — united under the unlikely flag of GameStop (GME) stock. The buying frenzy began online, organized on a Reddit forum called Wall Street Bets. Spurred on by the internet hype, small-time investors from across the country bought GME stock, sending the […]
Everything you need to know about the new IRS Form W-4
In 2020, the IRS decided to make major changes to its Form W-4, the form employers use to calculate their employees’ tax withholdings. But don’t let these changes overwhelm you. Here’s what you need to know about the overhauled W-4: New W-4: No More Withholding Allowances The IRS has decided to eliminate withholding allowances from […]