CARES Act: Expands Charitable Giving Tax Deduction. Tax Implications for Businesses and Individuals due to COVID-19

The Corona virus Aid, Relief and Economic Security (CARES) Act will let taxpayers deduct up to $300 in charitable donations from their taxable income if the taxpayer normally takes the standard deduction. Continue reading “CARES Act: Expands Charitable Giving Tax Deduction. Tax Implications for Businesses and Individuals due to COVID-19”

Selling your Home? Plan ahead, and Make it a Tax FREE transaction.

Generally, when a home owner sells their main residence IRS allows an exclusion of gain from the sale. To qualify for the maximum exclusion of gain ($250,000 or $500,000 if married filing jointly) you must meet the Eligibility Test. Continue reading “Selling your Home? Plan ahead, and Make it a Tax FREE transaction.”

New 2018 Postcard-Size 1040 DRAFT Tax Return Released

As promised Filing taxes on a post card from now on, or are we? IRS has released a 2018 DRAFT 1040 Tax return that would fit on a post card. The new smaller size 1040, is intended to replace the old 1040, 1040A and 1040EZ.   Continue reading “New 2018 Postcard-Size 1040 DRAFT Tax Return Released”

Itemized Tax Deductions Post Tax Reform 2018-2025

With Standard Deductions doubling after the Tax Reform it became harder to benefit from the Itemized Deductions. For, Itemized Deductions only start to benefit the taxpayers tax return when they exceed the Standard Deduction. Under the previous law that threshold was $6,500 for single filers and $12,000 for married filing joint filers. After the Tax Reform those amounts increased to $12,000 for single filers and $24,000 for married filing joint filers. Continue reading “Itemized Tax Deductions Post Tax Reform 2018-2025”