Individual Tax Update: Planning for Year-End and a Peek at the Future

  • October 18, 2010

By Patti Stoner, CPA The end of 2010 is quickly approaching and tax season is just around the corner. Below are links to two files that includes information about tax planning and upcoming changes that may affect you. Topics such as: New tax laws passed in 2010, tax deductions that have expired and the Health Care Act of 2010.

IRS Issues Relief with Respect to Form W-2 Reporting of Cost of Group Health Insurance

  • October 13, 2010

This just in – IRS has provided interim relief to employers with respect to reporting the cost of coverage under an employer-sponsored group health plan on Form W-2. The reporting of this cost will not be mandatory for Forms W-2 issued for 2011.

FAQ: What Will the Income Tax Rate be in 2011?

  • October 1, 2010

Only three months remain until the current marginal individual income tax rates that helped lower the tax rates of all taxpayers, from lower to middle to higher-income individuals and families, over the past ten years will expire. Congress has a number of options on the table, with some lawmakers favoring extension of the current rates for all taxpayers, while others favor only extending the current rates for the middle-class, and allowing the top two rates to revert to their previous higher levels. Still others are willing to extend none of the rates if a stalemate over the higher rate brackets ensues. The potential rate change makes tax planning all the more important, yet tax planning is also made uncertain by inaction on Congress's part.

Fate of Extenders, EGTRRA Enhancements and Other Expiring Tax Incentives Complicates Year-End Planning

  • October 1, 2010

Many taxpayers mistakenly believe that some popular tax incentives are permanent when in reality they are temporary. It is no surprise that taxpayers make this assumption. Congress routinely allows these tax incentives (called tax extenders) to expire and then renews them. This year, the outcome may be different.

Health Care Reform: Six Months Later

  • October 1, 2010

September 23, 2010 was the six-month anniversary of the comprehensive health care reform package (the Patient Protection and Affordable Care Act...

Congress Passes Individual and Business Tax Incentives in the Small Business Jobs Act of 2010

  • October 1, 2010

Congress has passed a small business jobs bill, the Small Business Jobs Act of 2010 (H.R. 5297), with valuable individual and business tax incentives totaling approximately $12 billion. Many of these tax incentives are temporary so you have only a short window of time in which to take advantage of them. Other tax incentives are permanent but require careful planning to maximize your tax benefits.

Calculating Correct Withholding and Estimated Tax

  • September 1, 2010

Correctly calculating your estimated tax payments and/or withholding is even more important as the year end approaches. Accurate calculations are especially important as third and fourth quarter payments become due, and your income and expenses for the rest of the year can be more accurately projected.

What the New 1099 Reporting Requirement will Mean for Businesses

  • September 1, 2010

Businesses of all sizes are preparing for a possible avalanche of information reporting after 2011. To help pay for health care reform, lawmakers tacked on expanded information reporting to the Patient Protection and Affordable Care Act (PPACA). The health care reform law generally requires all businesses, charities and state and local governments will file an information return for all payments aggregating $600 or more in a calendar year to a single provider of goods or services.

FAQ: What’s New in Back-to-School Tax Savings?

  • August 2, 2010

It is no secret to students, working individuals going back to school, and their families that the cost of education is becoming continuously more expensive year after year. The Tax Code provides a variety of significant tax breaks to help pay for the rising costs of education, from elementary and secondary school to college and graduate school. Individuals may be surprised to learn the many different ways the tax laws can help make education more affordable these days. In addition to scholarships, loans and work-study grants, or simply by themselves, these incentives can provide valuable cost savings.