The Department of the Treasury and the Internal Revenue Service issued final regulations addressing several SECURE 2.0 Act provisions relating to catch-up contributions. (Catch-up contributions are additional contributions under a 401(k) or similar workplace retirement plan for employees who are age 50 or older.) The...
Employers can continue to use educational assistance programs to help employees with undergraduate or graduate-level student loan debt and other education expenses tax-free. Eligible expenses Educational assistance programs can help pay for: Books Equipment Supplies Tuition and other fees Qualified education loans Loan payments These programs...
Tax professionals should always remain alert to any scams and protect their client data. A common scam geared towards tax pros aims to collect their Electronic Filing Identification Numbers. How the scam works The scammer poses as a tax software provider and emails the tax pro...
It’s back to school season, and with that comes potential out-of-pockets costs for educators. The Educator Expense Deduction lets eligible teachers and administrators deduct certain expenses from their taxes. Eligible educators The taxpayer must be a kindergarten through grade 12 teacher, instructor, counselor, principal or aide...
By law, all taxpayers have the right to finality when working with the IRS. For example, taxpayers have the right to know when the IRS has finished an audit. This is one of ten basic rights — known collectively as the Taxpayer Bill of Rights. Here's...
The OBBBA law is long, but the IRS has summarized some of the most significant provisions: No tax on tips Effective for 2025 through 2028, employees and self-employed individuals may deduct qualified tips received in occupations that are listed by the IRS as customarily and regularly...
The IRS has announced updated Health Savings Account (HSA) contribution limits for 2026. For self-only coverage, the limit will be $4,400, a $100 increase from 2025. For family coverage, the limit will be $8,750, an increase of $200. The catch-up contribution limit for those 55 and...
The Form W-4, Employee's Withholding Certificate, is a critical document for determining the correct amount of federal income tax to withhold from an employee’s paycheck. If an employer discovers that an employee has completed their Form W-4 incorrectly, it is important to handle the situation...
Hobbies and businesses are treated differently when it comes to filing taxes. The biggest difference between the two is that businesses operate to make a profit while hobbies are for pleasure or recreation. Either way, if they are paid through payment apps for goods and services...
Here are some simple things taxpayers can do throughout the year to make next filing season less stressful. Organize tax records Create a system that keeps all important information together. Taxpayers can use a software program for electronic recordkeeping or store paper documents in clearly labeled...