ARTICLES

For 2011, employers in 23 states and the Virgin Islands could suffer a credit reduction on their Federal Unemployment Tax Act tax returns. Under the provisions of the Federal Unemployment Tax Act (FUTA), a tax is levied on employers covered by the...

Anyone who has set up a Section 529 plan to help pay for the education of a family member should be aware of the plight of Timothy Karlen, as described in a recent Tax Court case. Timothy Karlen was experiencing financial difficulties. On Sept. 4,...

On Nov. 21, 2011, President Obama signed the Three Percent Withholding Repeal and Job Creation Act.  Under the new act, Congress has repealed the 3 percent withholding rule, which was set to apply to all payments to government contractors...

When considering year-end tax planning strategies, tax-paying corporations, otherwise known as C corporations, should factor 2012 estimated taxes into their 2011 year-end plans. C corporations are required to pay their entire 2012 tax liability...

Last week, the Joint Committee on Deficit Reduction – the so-called super committee – announced its failure to reach a compromise on a combination of revenue enhancements and spending cuts designed to reduce the federal deficit by $1.2...

A recent Tax Court case serves as a reminder that taxpayers bear the responsibility of proving the business nature and amount of any claims for unreimbursed business expenses. In this case, Eliana Farias' primary job was teaching elementary school...

In a recent Tax Court case, even presiding Judge Vasquez thought the result was unfair. Richard Nixon (not that one!) was a divorced parent who paid child support for two children who were in the custody of his ex-wife. Neither child...

In a new ruling, the IRS has made it easier for companies to deduct year-end bonuses. The ruling allows an employer using an accrual method of accounting to take a deduction in the current year for a fixed amount of bonuses payable to a group of...

Watching the news every night, you would think natural disasters are a regular occurrence. Hurricanes, tornadoes, floods and earthquakes disrupt lives, challenge communities and cause significant financial losses. If you are the victim of a...

In today's difficult residential real estate market, many homeowners who must relocate have found it difficult to sell their properties. Many have attempted to rent out their prior homes. A recent Tax Court decision (Hattie M. Bonds v....

Fall is a season when many people are cleaning out garages, basements and closets. If you are not having a tag sale and some items look too good for the dump, consider contributing them to charity. You can get a tax deduction for whatever the item...

The IRS has announced that, for tax year 2012, personal exemptions and standard deductions will rise and tax brackets will widen due to inflation. By law, the dollar amounts for a variety of tax provisions must be revised each year to keep pace...