Welcome to the topic Accounting Methods- Cash and Accrual. When starting a business, you have to determine the method you are going to use for accounting and paying taxes. The two choices are the cash method and the accrual method. Cash Method If you are looking for simplicity, the cash method is probably your best accounting choice.… Continue reading Accounting Methods – Cash and Accrual
Internal revenue service (IRS) regulates more than 60 tax reservations for inflation to stop bracket creep on a yearly basis. It happens when people are shoved into high-rise tax brackets or have lessened value from deductions and credits because of inflation rather than an increase in real earnings. Till 2018, IRS used to use Consumer Price Index (CPI)… Continue reading 2022 Income Tax Brackets and Rates
Welcome to the topic Why It’s Important to Build a Relationship with Your Tax Professional. Rethink if your idea of an accountant or tax professional is to drop your books off once a year, wait for the number crunching to be completed, pay your taxes, and then go your own ways for another year. You… Continue reading Why It’s Important to Build a Relationship with Your Tax Professional
Welcome to the topic Some Changes That May Affect Next Year’s Tax Returns. Many factors can contribute to how your tax returns end up looking. Next year’s tax returns will be no different. There are some policy changes on the horizon that may affect your tax returns, so it is good to become aware of… Continue reading Some Changes That May Affect This Year’s Tax Returns
Welcome to the topic IRS New Standard Deduction and Tax Bracket: What to Know. In 2022, the standard deduction and income tax brackets will be changed to account for inflation. On Nov. 10, the Internal Revenue Service revealed annual inflation adjustments for over 60 tax-related provisions for the tax year 2022, along with a greater… Continue reading IRS New Standard Deduction and Tax Bracket: What to Know
Vast numbers of families in the United States have already received monthly advance Child Tax Credit payments, which will continue through December. You may believe you’re all ready now that you know how much money you’ll get monthly. But how will the changes to the Child Tax Credit affect your tax return in 2021? Should… Continue reading IRS Letter 6419-2020
