Another Handy Halloween Treat!
by TaxDoctor on October 31, 2019 at 3:50 pm
No trick! Opportunity zones are your treat this Halloween. Year-end tax planning, the stock markets, and opportunity zones are all on a high speed merge around the country. Hopefully, the information is getting to the correct people, but even if you are seeing this for the first time, you still have time to get educated and perhaps take advantage. Let’s break it down. Opportunity zones are a new governmental offensive to bring targeted areas around the country jobs and investment in infrastructure. There are many layers and details, but for this purpose, we will stick to a high-level discussion and focus on two parts. Part one: What are they? They are specific, clearly defined geographic areas around the country. Opportunity
The Most Used Tax Planning Concept for November and December.
by TaxDoctor on October 25, 2019 at 3:46 pm
After October, trick-or-treaters are done banging on your doors, the fall wrap up begins around the house. Any remaining lawn chairs, storm windows and et cetera, all go into place ahead of the first storm. Sure, for some places, like Arizona, winter is just a nice break from the heat. Wow, this summer it was 110 degrees on many days! Crazy. But, for a majority of the country that lives in the snow belt, November means batten down the hatches. The same is true for finance and tax planning. People start looking at their holiday shopping budgets and looking at their end of year projections (if they’re financial goal setters) to see where they are at. We often talk about
Why Do People Fear Tax Audits More Than They Fear Overpaying?
by TaxDoctor on October 18, 2019 at 5:15 pm
Ask anyone if they “pay too much income tax” and the knee jerk reaction is almost always, “Yes!” and without much hesitation. Why do we call that a knee jerk reaction? Because if you then follow the question up with two more questions, “What did you pay in federal tax last year? And/or what bracket are you in?” they almost as quickly say, “I don’t remember, or I’m not sure”. Or they might guess at a bracket percentage, but usually not correctly. I’ve even had people profess the pain of paying too much in tax only to discover that not only did they get back all of their withholdings, but were given tax credit refunds of money they did not
Fix the Underpayment Tax Penalty You’re Headed For with A Simple Halloween Trick 😮
by TaxDoctor on October 10, 2019 at 3:22 pm
In a few months the U. S. will begin filing tax returns again, and at tax firms all over the country people will be making the “E-Trade” Shocked Baby Face (remember him?) when they see they are being charged penalties and interest for under paying their taxes due. Even if they made a 941 payment in the last quarter to cover ALL the tax due for the year, they can still find themselves fined by Uncle Sam as a penalty for not paying equally over the four quarters of the year. A last quarter over payment simply means they underpaid for three quarters and overpaid for one quarter, and no, it’s not “good enough” for the IRS. People also argue
The Tax Clock Is Ticking
by TaxDoctor on October 4, 2019 at 2:16 pm
We are nearing the October 15th filing deadline, so all the crying is almost over 2018 tax return submissions. We blogged throughout the summer on various topics, but now you’re down to a few weeks to effectively do 90% of what can be done to affect your 2019 tax liability. Only a few things can be done in 2020, once you realize how big the bill actually is. If you’re an individual making less than top wages, you can open and fund IRAs after January 1st, 2020, that can reduce your 2019 tax bill. Other than that, there’s little that can be done once the ball drops on New Year’s Eve. You have until then to get your act together, figure out where your tax
Taxes Are Due In