Category: Tax Planning

Due to the unusual conditions related to the coronavirus pandemic, the due date for individuals to file 2020 federal income tax returns and make tax payments has been postponed by the IRS from Thursday, April 15, 2021, to Monday, May 17, 2021. No interest, penalties, or additions to tax will be incurred by taxpayers during […]

The IRS has announced that the federal income tax filing season for tax year 2020 returns begins on Friday, February 12, 2021. Although tax seasons frequently begin in late January, the additional time will allow the IRS to update its programming and test its system to take into account any changes made by the Consolidated […]

The due date for federal income tax returns and payments is Wednesday, July 15, 2020. Due to the coronavirus pandemic, the original due date for filing federal income tax returns and making tax payments was postponed by the IRS from April 15, 2020, to July 15, 2020. No interest, penalties, or additions to tax are […]

Due to the coronavirus pandemic, the due date for filing federal income tax returns and making tax payments has been postponed by the IRS from Wednesday, April 15, 2020, to Wednesday, July 15, 2020. No interest, penalties, or additions to tax will be incurred by taxpayers during this 90-day relief period for any return or […]

One of the major issues for keeping wealth in the family has long been the federal estate and gift tax. The tax rate today is 40%, but historically has been as high as 70%. The exemption amounts were far lower in the past than they are today. To gain control over this tax exposure, some […]

To increase the likelihood that tax-preferred savings actually will be used for retirement, Congress included a 10% penalty tax on IRA and 401(k) distributions before the account owner reaches age 59½. The penalty applies in addition to the regular income tax on the distribution. For example, someone in the 15% tax bracket who takes a […]

Commencement speaker Robert Smith surprised the graduating seniors at Morehouse College in May when he announced that he would pay off all of their student loans.  What are the tax implications of this magnanimous gesture? Potential gift taxes The value of Smith’s gift has been estimated at $40 million, for some 400 graduating seniors, about […]

According to the IRS: “An Opportunity Zone is an economically-distressed community where new investments, under certain conditions, may be eligible for preferential tax treatment. Localities qualify as Opportunity Zones if they have been nominated for that designation by the state and that nomination has been certified by the Secretary of the U.S. Treasury via his […]

PUT YOUR BENEFICIARIES FIRST The traditional “hot button” that has motivated people to see their lawyers about estate planning is taxation. Death taxes, such as inheritance and estate taxes, federal taxes, and state taxes have taken a notorious toll on unplanned estates over the years. With sound planning, that burden can be minimized or even […]