Adam’s Tax Blog
Note: Tax advice, articles, and content contained on this site are intended for informational and educational purposes only. They are not a substitute for professional advice. Tax matters are can be extremely complex and vary greatly for each individual or company. Please click here to read our complete disclosure and disclaimer for the information presented on this site.
Student Loan Interest: Can You Deduct It On Your Tax Return?
The economic impact of the novel coronavirus (COVID-19) is unprecedented and many taxpayers with student loans have been hard hit. The Coronavirus Aid, Relief and Economic Security (CARES) Act contains some assistance to borrowers with federal student loans. Notably,...
IRS Releases 2021 Amounts for Health Savings Accounts
The IRS recently released the 2021 inflation-adjusted amounts for HSAs (Health Savings Accounts). HSA basics An HSA is a trust created or organized exclusively for the purpose of paying for “qualified medical expenses” of an “account beneficiary.” An HSA can only be...
Did You Get an Economic Impact Payment that Was Less than You Expected?
Nearly everyone has heard about the Economic Impact Payments (EIPs) the federal government is sending to help mitigate the effects of the coronavirus (COVID-19) pandemic. The IRS reports that in the first four weeks of the program, 130 million individuals received...
Fortunate Enough to Get a PPP Loan? Forgiven Expenses Aren’t Deductible
The IRS has issued guidance clarifying the fact that certain deductions aren’t allowed if a business has received a Paycheck Protection Program (PPP) loan. Specifically, an expense isn’t deductible if both: The payment of the expense results in forgiveness of a loan...
Business Charitable Contribution Rules Have Changed Under the CARES Act
Many businesses are interested in donating to charity in response to the COVID-19 pandemic. In order to incentivize charitable giving, the Coronavirus Aid, Relief and Economic Security (CARES) Act liberalized the rules governing charitable deductions. Here are two...
There’s Still Time to Make a Deductible IRA Contribution for 2019
Do you want to save more for retirement on a tax-favored basis? If so, and if you qualify, you can make a deductible traditional IRA contribution for the 2019 tax year between now and the extended tax filing deadline and still claim the write-off on your 2019 return....
Do You Have Tax Questions Related to COVID-19? Here Are Some Answers
The coronavirus (COVID-19) pandemic has affected the finances of many Americans. Here are some answers to questions you may have right now. My employer closed the office and I’m working from home. Can I deduct any of the related expenses? Unfortunately, no you can’t....
The CARES Act Liberalizes Net Operating Losses
The Coronavirus Aid, Relief, and Economic Security (CARES) Act eliminates some of the tax-revenue-generating provisions included in a previous tax law. Here’s a look at how rules for claiming certain tax losses have been modified to provide businesses with relief from...
IRA Account Value Down? It Might Be a Good Time for a Roth Conversion
The coronavirus (COVID-19) pandemic has caused the value of some retirement accounts to decrease because of the stock market downturn. But if you have a traditional IRA, this downturn may provide a valuable opportunity by allowing you to convert your traditional IRA...
Hiring Independent Contractors? Make Sure They’re Properly Classified
Your business may be using independent contractors to keep costs low as a result of the coronavirus (COVID-19) crisis. But you should be careful these workers are properly classified for federal tax purposes. It can be an expensive mistake if the IRS reclassifies them...
Answers to Questions You May Have About Economic Impact Payments
Millions of eligible Americans have already received Economic Impact Payments (EIPs) via direct deposit or paper checks, according to the IRS. Others are still waiting. The payments are part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Here are...
New COVID-19 Law Makes Favorable Changes to “Qualified Improvement Property”
The law providing relief due to the coronavirus (COVID-19) pandemic contains a beneficial change in the tax rules for many improvements to interior parts of nonresidential buildings, referred to as qualified improvement property (QIP). Under the Tax Cuts and Jobs Act...