Did you convert your Traditional IRA to a Roth IRA? Do you worry you may have done it too soon if Tax Reform Passes?
A lot of people are asking the question, “What if tax reform passes? What will happen since I When you convert a traditional IRA to a Roth IRA, you have to pay the tax on the conversion. However, individuals frequently do that so they can take advantage of future tax-free accumulations. Distributions from Roth IRAs are generally tax free, including any earnings (accumulations) while the account is a Roth account. Continue reading →
What is the IRS doing to help with natural disaster relief?
We are getting hit with a one-two punch this hurricane season between Hurricane Harvey, Hurricane Irma and who knows what else will hit. The last several years the IRS has typically acted to provide taxpayer relief for natural disasters such as hurricanes Kartina and Rita, the 2014-2015 record snow fall in New England, the 2010 New England floods, Hurricane Sandy, Hurricane Matthew, the Ebola Outbreak in 2014, and the 2010 Hatian earthquake. As you read this you would think we were facing the end, but thank goodness there has been help from the IRS. The typical measures often include delaying various filing deadlines, delating various payment deadlines, loosening rules for write offs for damage, and allowing for certain charitable contributions.
An Accounting Professional Can Make All the Difference in Your Business Success
It’s true, a professional accountant can provide powerful tax strategies with limited tax obigation, which results in saving money for your small business. One of the most positive qualities that many small business owners share is a burning desire – an insatiable willingness – to “do it all.” It’s what separates entrepreneurs from employees in the first place. An employee is more than willing to set out on the path that someone else has carved for them. An entrepreneur has a need to carve a path for themselves. Continue reading →
IRA basis is the sum of after tax contributions made to your Individual Retirement Account. This can include traditional IRAs, rollover IRAs, inherited IRAs, and Roth IRAs. Many taxpayers fail to keep track of after tax contributions to these retirement accounts. This is not a good idea because you end up paying tax twice on the money you contribute to your IRA; once on the way in and once on the way out. Continue reading →
Did you forget to enclose that tax document on your tax return? This is the largest source of IRS notices that I see. Taxpayers forget to report income from a 1099 or did not think the income was necessary to report. So, how do you deal with an IRS tax notice when you forgot to enclose the document with the tax return? Continue reading →
Are you looking for a way to save money? The Earned Income Tax Credit on your Schedule C helps low income workers.
There are millions of unincorporated businesses across the US. Many of these unincorporated business owners file a Schedule C on their personal tax return rather than a separate corporate tax return. There are benefits to keeping their tax filing requirements simple but there is also a near certainty that if you have a small business and you also are eligible for the Earned Income Tax Credit or Earned Income Credit (EITC), you will be audited. Here’s why. Continue reading →
It is true, Massachusetts Department of Revenue wants copies of your W-2s, 1099s, etc.
Did you get a letter from Mass Department of Revenue asking for copies of your W-2s, 1099s, etc? Don’t panic. Chances are you have these w2 copies in your files and you just need to pull them out and follow these steps. Continue reading →
Are You Among the 67% Who Don’t Have $500 for an Emergency Savings or Emergency Fund?
Alarmingly isn’t it? Everyone should have an emergency fund. Only 37% of Americans have enough emergency savings to pay for a $500 crisis. That is roughly 4 in 10 Americans have something to cover an emergency. And that is a small emergency like a car repair or broken appliance. What about something major like a root canal or repairing a roof from wind damage? Continue reading →
Disclaimer: This publication/blog, which may be considered advertising under the ethical rules of certain jurisdictions, is provided with the understanding that it does not constitute the rendering of legal advice or other professional advice by Joseph J. Cahill / Worthtax or any of its subsidiaries or its attorneys, employees or associates representing Joseph J. Cahill / Worthtax. Additionally, the foregoing discussion does not constitute tax advice. Any discussion of tax matters contained in this publication/blog is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties under the Internal Revenue Code or promoting, marketing or recommending to another party any transaction or matter.
Joseph Cahill & Associates / WorthTax is proud to offer income tax preparation services to the residents of Quincy, Braintree, Milton, Weymouth, South Weymouth, Hingham, Rockland, Abington, Holbrook, Canton, Dedham, West Roxbury, Hyde Park, Westwood, Norwood, Walpole, Needham, and other surrounding communities.