Blog - Rose Snyder & Jacobs LLP

November Due Dates

INDIVIDUAL DUE DATES November 12 – Report Tips to Employer If you are an employee who works for tips and received more than $20 in tips during October 2024, you are required to report them to your employer on IRS Form 4070 no later than November 12. Your employer is required to withhold FICA taxes…

How to Prepare for Your Year-End Financial Review: A Guide for SMBs

As the year draws to a close, it’s time to take stock of your business’s financial health. A year-end financial review isn’t just a box to check—it’s a crucial opportunity to assess your profit and loss, evaluate growth potential, and ensure your business is on track for continued success. Whether you’re looking to maximize tax…

Navigating the Tax Complexities of Hiring Household Employees

Household employees play a crucial role in many homes, providing essential services such as childcare, eldercare, housekeeping, and gardening. However, employing household help comes with a set of responsibilities, particularly in terms of payroll, withholding, and tax reporting. This article delves into the intricacies of household employment, including the classification of workers, payroll requirements, tax…

Maximizing Your Retirement Savings: Strategies for Late Starters

As a baby boomer, you may find yourself approaching retirement with less savings than you’d hoped. Whether due to economic fluctuations, personal circumstances, or simply the demands of life, many late starters face this challenge. However, it’s never too late to take action. Here are effective strategies to maximize your retirement savings and catch up…

Don’t Leave Money on the Table: Essential Tax Credits You Might Be Missing

Tax preparers often encounter clients who are confused about the various tax credits available to them. Understanding these credits can significantly impact your tax liability and, in some cases, result in a refund. This article aims to demystify individual tax credits, explain the difference between refundable and non-refundable credits, and discuss credit carryovers. By the…

Navigating the Corporate Transparency Act: Essential Insights and Compliance Reminder for SMBs

As the deadline for compliance with the Corporate Transparency Act (CTA) approaches, small and medium-sized businesses (SMBs) must remain vigilant. This legislative milestone, aimed at enhancing corporate transparency, requires businesses to disclose beneficial ownership information to combat illicit activities like money laundering and tax evasion. With the latest insights and reminders, it’s crucial for SMBs…

Surprising Tax Impact of Converting Your Traditional IRA to a Roth IRA

Taxpayers are limited in the annual amount they can contribute to a Roth IRA. The maximum contribution for 2024 is $7,000 ($8,000 if age 50 or older), but the allowable 2024 contribution for joint-filing taxpayers phases out at an adjusted gross income (AGI) between $230,000 and $240,000 (or an AGI between $0 and $9,999 for…

IRS Highlights New Warning Signs for Businesses Regarding the Employee Retention Credit

In the wake of the COVID-19 pandemic, the Employee Retention Credit (ERC) emerged as a vital financial lifeline for businesses. However, as the IRS intensifies its scrutiny of ERC claims, it has unveiled five new warning signs that businesses must heed to avoid costly mistakes. Understanding these red flags is crucial for maintaining compliance and safeguarding your…

October Due Dates

INDIVIDUAL DUE DATES October 10 – Report Tips to Employer If you are an employee who works for tips and received more than $20 in tips during September, you are required to report them to your employer on IRS Form 4070 no later than October 10. Your employer is required to withhold FICA taxes and…

September Due Dates

INDIVIDUAL DUE DATES September 1 – 2024 Fall and 2025 Tax Planning Tax Planning Contact this office to schedule a consultation appointment. September 10 – Report Tips to Employer If you are an employee who works for tips and received more than $20 in tips during August, you are required to report them to your…

Unlock Cash Flow and Profits: The Power of Installment Sales when Selling Your Rental

The installment sales method is a significant tool for taxpayers selling a rental property at a gain, offering a way to spread tax liability over the period in which the sale proceeds are received. This method, while beneficial in many scenarios, comes with its complexities and considerations, especially when dealing with rental properties. This article…

Education Savings: How a Sec 529 Plan Can Transform Your Family’s Future

Funding a child’s education can be a daunting task for many parents and guardians. With the rising costs of post-secondary education, finding a tax-efficient way to save and grow education funds is crucial. Enter the Section 529 Plan, a powerful tool in the arsenal of education savings options. This blog post will delve into the…

IRS Offers Second Chance to Resolve Employee Retention Credit Claims with New Voluntary Disclosure Program!

The Internal Revenue Service (IRS) has introduced a second Employee Retention Credit (ERC) Voluntary Disclosure Program as outlined in Announcement 2024-30. This initiative is designed to address erroneous claims for the ERC, a refundable tax credit aimed at supporting businesses and tax-exempt organizations that continued to pay employees during the COVID-19 pandemic under specific conditions. Background…

Essential Tax and Financial Planning Strategies for Boomers and Gen Xers Approaching Retirement

As Boomers and Gen Xers approach retirement, effective financial planning becomes crucial to ensure a comfortable and secure future. This article outlines essential tax and financial planning strategies tailored to the unique needs of individuals nearing retirement. By understanding and implementing these strategies, you can navigate the complexities of retirement planning with confidence. Understanding Retirement…

Understanding the Types of IRS Audits: Why Professional Help is Essential

Dealing with the IRS can be a daunting experience, especially when you receive an audit notice. Understanding the different types of IRS audits and what each entails can help you navigate the process more effectively. However, it’s crucial to recognize that handling an audit is not a DIY task. Professional assistance can make a significant…

Breaking News: The IRS Has Just Updated Their Position Related to Denying or Paying Employee Retention Credit (ERC) Claims

The Employee Retention Credit (ERC) was introduced as a part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act in 2020 to help businesses keep employees on their payroll during the COVID-19 pandemic. The credit was designed to provide financial relief to businesses that experienced significant declines in revenue or were forced to suspend…

August Due Dates

Individual August 12 – Report Tips to Employer If you are an employee who works for tips and received more than $20 in tips during July, you are required to report them to your employer on IRS Form 4070 no later than August 12. Your employer is required to withhold FICA taxes and income tax…

5 Steps You Should Take Every Time You Open QuickBooks

When it comes to managing your small business finances, establishing a consistent routine is important. This is especially true when using QuickBooks, a powerful accounting software system that can help you stay organized and make informed decisions about your finances daily. Here are five key steps you should take every time you open QuickBooks: 1.…

Proving Noncash Charitable Contributions

Tax legislation passed in late 2017 nearly doubled the standard deduction for years 2018 through 2025, and now about 90% of individuals filing a tax return are taking advantage of the higher standard amount and are not itemizing their deductions. For the 10% of filers still itemizing, one of the most common tax-deductible charitable contributions…

Is It Better to Have a Tax Credit or a Deduction?

People often say that an expense is “a tax write-off”; most everyone interprets this to mean that the expense will have a tax benefit. Generally, such a benefit takes the form of either a deduction or a credit; these benefits’ effects are quite different, however, and each type has various categories. As a result, the…