Category: Tax

Department of Defense offers free tax filing resources for military members

Active military service can pose challenges during tax filing, especially for deployed or intensely training service members. The MilTax program, administered by the Department of Defense, aims to alleviate these challenges by providing free tax return preparation and e-filing software...

Tax benefits (and pitfalls) of hiring your minor children as a small business owner

School breaks present an opportune time to involve minor children in your small business. As long as they perform legitimate work for your enterprise, hiring your child allows you to pay them up to $12,000 annually tax-free, while also claiming...

Corporate Transparency Act reporting requirements coming in 2024

A new law intended to help prevent and combat money laundering, terrorist financing, corruption, tax fraud, and other illicit activity will affect millions of American businesses when it goes into effect on January 1, 2024. Broadly speaking, new regulations created...

Tax issues when operating a business as a married couple

Operating one's own business offers the advantage of employing family members, but it's important to understand the specific employment tax requirements that apply to family employees, which can differ from those for other employees. Here are key considerations outlined by...

Law changes to IRS Code Section 174 create uncertainty around R&D deductions

  • May 3, 2023
  • ShindelRock

The Tax Cuts and Jobs Act of 2017 introduced several amendments to the Internal Revenue Code, including a revision to Section 174. This section, originally established in 1954 to permit businesses to deduct expenses related to research and experimental activities,...

Inheritance or gifts from foreign persons may require Form 3520 reporting

While gifts or inheritances do not trigger U.S. income tax reporting, they can impose other filing obligations on the recipient. Regarding gifts and inheritances received from foreign individuals or entities by U.S. citizens or residents, Form 3520 (Annual Return to...

Compliance risk for people and businesses claiming Employee Retention Tax Credit improperly

The Internal Revenue Service (IRS) has issued a renewed cautionary advisory, urging individuals to thoroughly review the guidelines for the Employee Retention Credit (ERC) before attempting to claim it, as unauthorized promoters persist in encouraging ineligible individuals to file. Reports...

Tax-free rollover from 529 plans to Roth IRAs will be allowed starting in 2024

In December 2022, Congress passed an extensive spending bill that includes the highly anticipated retirement legislation known as SECURE Act 2.0. Among the provisions of SECURE Act 2.0 is the introduction, starting in 2024, of a new option allowing certain...

Reporting delay for thresholds for third party payment platforms

The IRS has announced a delay in the implementation of lower reporting thresholds for third-party settlement organizations (TPSOs), originally set to begin for the 2022 tax year. This means TPSOs are not required to report transactions below $600 on Form...

SafeSend Returns email to “Please update your K1 Recipient Information” is legitimate

  • December 27, 2022
  • ShindelRock

ShindelRock clients may have received an email on December 25 related to updating K1 recipient information in SafeSend Returns. These are legitimate emails related to built-in product functionality.  This feature is designed to ensure that the K1 recipients’ personal information...