Tax Credits

tax breaks

2021 – the Year of Substantial Tax Breaks for Families with Children and Lower-Income Taxpayers

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This is an overview of the several tax benefits that were included in the American Rescue Plan Act recently passed by Congress that will impact families with children and lower-income taxpayers during 2021. These include increased … Read More

Earned Income Tax Credit: One Way to Save Money on the Schedule C

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Are you looking for a way to save money? The Earned Income Tax Credit on your Schedule C helps low income workers.

There are millions of unincorporated businesses across the US. Many of these unincorporated business owners file a Schedule C on their personal tax return rather than a separate corporate tax return. There are benefits to keeping their tax filing requirements simple but there is also a near certainty that if you have a small business and you also are eligible for the Earned Income Tax Credit or Earned Income Credit (EITC), you will be audited. Here’s why.

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Childcare Providers Enjoy Special Tax Deductions

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Childcare providers, did you know that the tax law provides you with special tax breaks. Daycare tax breaks are not limited to childcare providers only. They also include those who care for the disabled and eldercare providers as well. These daycare tax breaks include deductions for travel, capital purchases, supplies, children’s meals and the business use of your home.

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IRS Takes Action on Tax Credits

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Why does the IRS need to take action on tax credits?

The IRS takes action on tax credits for the 2016 tax returns during the 2017 tax season for a good reason. Tax credits and tax fraud costs the government billions of tax dollars a year. The IRS is clamping down on tax credits due to these costs. In an effort to rein in tax fraud, some new laws took effect in 2016. These laws clamp down on individuals who file a fraudulent claim on the American Opportunity Tax Credit (AOTC), the Child Tax Credit (CTC), or the Earned Income Tax Credit (EITC).

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Year-End Tax Strategy: Do You Have One?

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Year-End is Just Around the Corner, Do You Have a Year-End Tax Strategy?

Do you have a year-end tax strategy? Year-end and the holidays are just around the corner. It is time to think about what you can do at the last-minute to improve your tax situation. Year-end tax planning is probably something you will want to deal with before the holiday season crush. Here are some tax tips and a year-end tax strategy to help you.

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No Tax Return Filed? Oh Oh!

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You did not file your tax return you say? No tax return filed in years? You are not alone. There are millions of individuals who do not file a tax return each year. Many of them don’t simply because their income is below the filing threshold levels for the year based upon their filing status.

Still others simply procrastinate. They risk giving up their refunds and credits. These credits include earned income tax credits, child tax credits, tuition credits and excess withholding. Mind you, these credits and refunds belong to them.

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Vacation Rental Tax Rule Exceptions

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Do you own a vacation rental? Do you use a rental agent or online rental service?  Do you rent out a first or second home for extra income? Websites, such as Airbnb, VRBO and HomeAway match property owners with prospective renters; however, there are some special tax rules may apply to you.

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