AAA-CPA — Article Archive

Select a Recent Article

Dissecting 2021’s Tax Proposals: What CPAs Need to Know

Blogging

From Biden’s ambitious legislative agenda to the bills sponsored by his Democratic colleagues, here are the most important tax proposals CPAs and their clients should be aware of. Over the past few weeks, President Joe Biden has outlined an ambitious agenda composed of three parts: the Made in America Tax Plan, the American Jobs Plan, […]

CONTINUE READING

Federal Tax Update – April 2021

Document

INDIVIDUALS In Haghnazarzadh v. Commissioner, TC Memo 2021-47, the Tax Court agreed with IRS that over $6.7 million in unexplained bank deposits constituted income to a couple who provided no specifics in their testimony that the deposits were non taxable. In Baum v. Commissioner, TC Memo 2021-46, a couple was denied a theft loss for […]

CONTINUE READING

Federal Tax Update – March 2021

Document

INDIVIDUALS Public Law 117-2, the American Rescue Tax Plan of 2021: ●          Creates a $1,400 credit in 2021 for most individuals with an additional $1,400 for each dependent phased out at adjusted gross income between $150,000-$160,000 for married couples, $112,500-$120,000 for heads of household and $75,000-$80,000 for single individuals; an advanced payment is based on […]

CONTINUE READING

Federal Tax Update – February 2021

Document

INDIVIDUALS In Anikeev v. Commissioner, TC Memo 2021-23, the Tax Court considered the case of a couple who profited  by using their credit cards for rewards in the form of gift certificates but then acquired money orders and debit cards with the gift cards; the Court found an accretion to wealth on the conversion to […]

CONTINUE READING

Feeling Blue: What to Expect in 2021

Company Page

Here’s what CPAs and financial planners should keep in mind as we head into 2021 with Democratic majorities in the House and Senate and a new president in the White House. So far, 2021 continues the 2020 theme of “expect the unexpected.” The election cycle of 2020 finally ended on January 5 with the Georgia […]

CONTINUE READING

Federal Tax Update – January 2021

Document

INDIVIDUALS In Hairston v. Commissioner, TC Summary Opinion 2021-2, the Tax Court determined that social security benefits are fully taxable in the year received despite a subsequent obligation to repay a portion. In Kelley v. Commissioner, TC Memo 2021-2, the Tax Court determined that taxation of a portion of social security benefits at zero taxable […]

CONTINUE READING

Post-Election 2021 Planning: Surfing the Blue Wave

Company Page

The year 2020 was one like no other, and thus far into 2021, the 2020 mantra “expect the unexpected” has continued.   The election cycle of 2020 finally ended on January 5, 2021 with the Georgia runoff elections with Democrats wining both Senate seats.  As a result, President Biden will have slight Democratic majorities in both […]

CONTINUE READING

Federal Tax Update – December 2020

Document

INDIVIDUALS Taxpayer Certainty & Disaster Tax Relief Act of 2020, part of PL 116-________, the Consolidated Appropriations Act, 2021: ●          Extends through 2025 the exclusion on employer payment of student loans up to $5,250 per year as part of an educational benefit plan ●          Makes financial aid grants under the CARES Act excludable from the […]

CONTINUE READING

Year-End Tax Planning With the Senate in the Balance

Blogging

In the final days of 2020, here are some tips on planning for 2021 when control of the Senate is yet to be determined. Year-end tax planning in an election year is often guided by the policies of the prevailing political party. This year, a Georgia Senate runoff race that will not take place until […]

CONTINUE READING

Federal Tax Update – November 2020

Document

INDIVIDUALS Proposed Regulations under Section 1031 adopt a broad definition of “real property” so that structural components of permanent structures as well as licenses and permits related thereto will qualify for like-kind exchange.  In Cutting v. Commissioner, TC Memo 2020-158, the Tax Court determined that an international pilot made a fatal error when he advised […]

CONTINUE READING