Adam’s Tax Blog

The federal student loan “pause” is coming to an end on August 31 after more than three years. If you have student loan debt, you may wonder whether you can deduct the interest you pay on your tax return. The answer may be yes, subject to certain limits. The deduction...

Does your business receive large amounts of cash or cash equivalents? If it does, you’re generally required to report these transactions to the IRS — and not just on your tax return. The requirements Each person who receives more than $10,000 in cash in one...

An estimated 190 million Americans have recently been under heat advisories, according to the National Weather Service. If you’re one of them, it may have spurred you to think about making your home more energy efficient — and there’s a cool tax break you may be able...

If you operate your small business as a sole proprietorship, you may have thought about forming a limited liability company (LLC) to protect your assets. Or maybe you’re launching a new business and want to know your options for setting it up. Here are the basics of...

More than a million Americans live in nursing homes, according to various reports. If you have a parent entering one, you’re probably not thinking about taxes. But there may be tax consequences. Let’s take a look at five possible tax breaks. 1. Long-term medical care...

Let’s say you own highly appreciated land and now it’s ripe for development. If you subdivide it, develop the resulting parcels and sell them off for a hefty profit, it could trigger a large tax bill. In this scenario, the tax rules generally treat you as a real...

If you’re age 50 or older, you can probably make extra “catch-up” contributions to your tax-favored retirement account(s). It is worth the trouble? Yes! Here are the rules of the road. The deal with IRAs Eligible taxpayers can make extra catch-up contributions of up...

If you play a major role in a closely held corporation, you may sometimes spend money on corporate expenses personally. If you don’t take the proper steps these costs may not be deductible by either the officer or the corporation. Most often this happens when the...

If you’re planning your estate, or you’ve recently inherited assets, you may be unsure of the “cost” (or “basis”) for tax purposes. How do the rules work? Under the current fair market value basis rules (also known as the “step-up and step-down” rules), an heir...

“Thousands of people have lost millions of dollars and their personal information to tax scams,” according to the IRS. The scams may come in through email, text messages, telephone calls, or regular mail. Criminals regularly target both individuals and businesses and...

If you own an unincorporated small business, you probably don’t like the size of your self-employment (SE) tax bills. No wonder! For 2023, the SE tax is imposed at the painfully high rate of 15.3% on the first $160,200 of net SE income. This includes 12.4% for Social...

Government officials saw a large increase in the number of new businesses launched during the COVID-19 pandemic. And the U.S. Census Bureau reports business applications are still increasing slightly (up 0.4% from April 2023 to May 2023). The Bureau measures this by...