Adam’s Tax Blog

If your small business is planning for payroll next year, be aware the “Social Security wage base” is increasing next year. The Social Security Administration recently announced that the maximum earnings subject to Social Security tax will increase from $137,700 in...

If you invest in mutual funds, be aware of some potential pitfalls involved in buying and selling shares. Surprise sales You may already have made taxable “sales” of part of your mutual fund investment without knowing it. One way this can happen is if your mutual fund...

If you file a joint tax return with your spouse, you should be aware of your individual liability. And if you’re getting divorced, you should know there may be relief available if the IRS comes after you for certain past-due taxes. What’s “joint and several”...

Are you wondering if the passive activity loss rules affect business ventures you’re engaged in — or might engage in? If the ventures are passive activities, the passive activity loss rules prevent you from deducting expenses generated by them in excess of their...

October 15 is the deadline for individual taxpayers who extended their 2019 tax returns. (The original April 15 filing deadline was extended this year to July 15 due to the COVID-19 pandemic.) If you’re finally done filing last year’s return, you might be wondering:...

IRS audit rates are at an historical low, but that’s little consolation if your return is among those selected to be examined. However, with proper preparation and planning, you should fare well. In fiscal year 2019, the IRS audited approximately 0.4% of individuals....

As a result of the current estate tax exemption amount ($11.58 million in 2020), many estates no longer need to be concerned with federal estate taxes. Before 2011, a much smaller amount resulted in estate plans attempting to avoid it. Now, because many estates won’t...

Does your business buy or lease computer software? Do you develop computer software for use in your business, or for sale or lease to others? If so, you should be aware of the complex rules that apply to determine the tax treatment of the expenses of buying, leasing...

In some cases, investors have significant related expenses, such as the cost of subscriptions to financial periodicals and clerical expenses. Are they tax deductible? Under the Tax Cut and Jobs Act (TCJA), these expenses aren’t deductible through 2025 if they’re...

Pretty much every business today has a website. However, the IRS has yet to issue formal guidance on when Internet website costs can be deducted. Fortunately, established rules that generally apply to the deductibility of business costs, and IRS guidance that applies...

Here are some of the tax-related deadlines affecting businesses and employers during the fourth quarter of 2020. Keep in mind that this list isn’t all-inclusive. There may be additional deadlines that apply to your situation. Contact us to ensure you’re meeting all...

COVID-19 has changed our lives in many ways, and some of these changes have tax implications. Here’s some basic information about two common situations. 1. Working from home. Many employers have told their employees told not to come to their workplaces due to the...