Earlier this year, the Internal Revenue Service issued long awaited guidance on the taxation of paid family medical leave. The revenue ruling is effective for payments received on or after January 1, 2025....more
Mistakes happen, and the tax law can be complex and ambiguous. The question becomes, what does a taxpayer do if they discover a mistake on their tax return? Should an amended tax return be filed? In some cases, the taxpayer...more
It is possible to reduce both your energy bills and your federal income tax through use of the energy tax credit. If you make energy efficient home improvements after January 1, 2023, you may qualify for a tax credit up to...more
Due Date -
The due date for Massachusetts Income Tax Returns is April 15, 2025.
Income Tax Rate -
The tax rate on most types of taxable income is 5%. The tax rate on long-term gains from the sale or exchange of...more
1/20/2025
/ Child Tax Credit ,
Filing Deadlines ,
Filing Requirements ,
Income Taxes ,
Joint Tax Returns ,
Property Tax ,
State Taxes ,
Surtax ,
Tax Credits ,
Tax Deductions ,
Tax Liability ,
Tax Planning ,
Tax Rates ,
Tax Returns
On November 26, 2024, the IRS announced transitional relief for the much-maligned tax reporting requirement for third party payment networks. The reporting threshold will now be $5,000 for the year 2024 rather than $600 to...more
As part of the Supplemental Budget that was passed on September 16, 2024, changes were made to the calculation of the Massachusetts estate tax for the estates of decedents who, at the time of death, owned real estate or...more
The IRS recently issued the 2025 annual adjustments for numerous tax provisions, including changes to tax brackets and standard deductions. Popular adjustments include:
- Estates of decedents who die during 2025 will have...more
11/20/2024
/ Cafeteria Plans ,
Estate Tax ,
Estate-Tax Exemption ,
Flexible Spending Accounts ,
Gift Tax ,
Gift-Tax Exemption ,
Income Taxes ,
Inflation Adjustments ,
IRS ,
Standard Deduction ,
Tax Exemptions ,
Tax Planning ,
Tax Rates
The Massachusetts Department of Revenue recently announced the annual increase to the popular Massachusetts “circuit breaker credit” for certain persons who are 65 years of age or older.
The circuit breaker tax credit is...more
The Massachusetts Department of Revenue (DOR) recently announced a tax amnesty program for non-filers and those with outstanding tax liabilities. From November 1 to December 30, 2024, most penalties for eligible taxpayers who...more
The Internal Revenue Service recently acknowledged systemic problems processing tax returns for deceased taxpayers who are due to receive a tax refund.
The National Taxpayer Advocate (TAS) reported that the IRS experienced...more
The 2024 Paris Olympics are in full swing, and it is never too early for U.S. athletes to consult with their tax advisor. As was done in 2021, the United States Olympic & Paralympic Committee has pledged to award U.S....more
As a general rule, when a married couple files a joint tax return, they are jointly and severally liable for the entire tax. But what happens if one spouse failed to report income and the other spouse did not know or have...more
7/9/2024
/ Equitable Relief ,
Failure to Report ,
Federal Taxes ,
Income Taxes ,
Innocent Spouse Exception ,
Joint and Several Liability ,
Joint Tax Returns ,
Spousal Tax Relief ,
Tax Code ,
Tax Liability ,
Tax Relief ,
Tax Returns
Education income tax credits are one way students and parents can help pay for college. There are two types of federal tax credits available to taxpayers: the American opportunity tax credit (AOTC) and the lifetime learning...more
2/27/2024
/ Colleges ,
Educational Institutions ,
Federal Taxes ,
Income Taxes ,
IRS ,
Student Loans ,
Students ,
Tax Credits ,
Tax Returns ,
Tuition ,
Universities
Now that the 2023 tax filing season is underway, many taxpayers are having an unpleasant surprise when they file their tax return this year and find out they are getting a much smaller refund than they were expecting, or...more
After the excitement of the wedding and honeymoon is over, newlyweds should start thinking about joint finances and their income taxes. A common question for those recently married is whether or not to file a joint tax...more
Massachusetts taxpayers will be able to deduct charitable contributions on their state income tax returns for charitable contributions made after January 1, 2023. The deduction will be allowed even if the taxpayer does not...more
The IRS recently issued the 2024 annual adjustments for numerous tax provisions, including changes to tax brackets and standard deductions. Popular adjustments include...more
As the 2023 tax year winds down, owners of individual retirement accounts (IRAs) might consider combining the 2023 tax benefits of charitable giving with a qualified charitable distribution (QCD) from their IRA....more
The long-awaited Massachusetts tax reform package was signed by Governor Maura Healey on Wednesday, October 4, 2023.
Among the provisions:
Estate Tax Reform: Establishes a non-refundable credit of $99,600 for each estate,...more
10/5/2023
/ Capital Gains Tax ,
Dependents ,
Estate Tax ,
Income Taxes ,
Popular ,
State Taxes ,
Tax Code ,
Tax Credits ,
Tax Deductions ,
Tax Exemptions ,
Tax Loopholes ,
Tax Rates ,
Tax Reform ,
Tax Relief ,
Tax Returns
On August 25, 2023, the Internal Revenue Service announced a two-year delay in implementing changes to the catch-up retirement contributions of certain taxpayers....more
8/30/2023
/ 401k ,
Contribution Limits ,
Delays ,
Human Resources Professionals ,
IRS ,
New Rules ,
Payroll Companies ,
Retirement Plan ,
Retirement Plan Providers ,
Roth IRA ,
SECURE Act
On August 9, 2023, Massachusetts Governor Maura Healey signed a $56 billion Fiscal Year 2024 state budget that increases state spending by 6.2% compared to a year ago. However, what was missing from this budget was the highly...more
The SECURE Act 2.0 brings a slate of changes to retirement accounts and the way workers save for retirement. A summary of the Act can be found on the US Senate Finance Committee website....more
8/11/2023
/ 401k ,
529 Plans ,
Automatic Enrollment ,
Contribution Limits ,
Early Retirement Distributions ,
Required Minimum Distributions ,
Retirement ,
Retirement Plan ,
Retirement Plan Providers ,
Roth IRA ,
SECURE Act ,
Tax Planning
Despite the predictions and media attention, electric vehicles (EV) accounted for only 5.7% of all automobiles purchased in the United States in 2022.
Globally, EV sales rose to 14% in 2022....more
A friend backs out of the long-planned group outing to see Taylor Swift’s opening night of “The Eras Tour” in Glendale, Arizona. Rather than have the ticket go unused you decide to sell the extra ticket online. Do you have to...more
Massachusetts Governor Maura Healey’s long awaited tax reform package was released on Monday February 27, 2023. Among the proposals:
- Dependent Credit: Establishes a $600 fully refundable credit per qualifying...more