Posts by Christopher Olson, EA
How Alabama Businesses Can Bypass the SALT Deduction Cap
Understanding the SALT Cap Deduction Workaround for Businesses in Alabama The federal State and Local Tax (SALT) deduction cap, enacted as part of the Tax Cuts and Jobs Act (TCJA) in 2017, has created challenges for taxpayers in high-tax states. This cap limits the amount individuals can deduct for state and local taxes to $10,000,…
Read MoreYear-End Tax Planning Strategies: How to Save More Before December 31
End-of-Year Tax Planning for Individuals: Strategies to Maximize Savings As the year draws to a close, tax planning becomes a critical focus for individuals aiming to minimize their tax liability and maximize potential savings. Proactive planning before December 31 can significantly impact your financial outcomes when tax season arrives. Here’s a comprehensive guide to effective…
Read MoreIs Christmas Lighting Tax Deductible?
Are Christmas Lights Tax Deductible? Let’s Shed Some Light on It! The holiday season is upon us, and if you’re anything like us, you’re already planning to deck the halls (and your roof, driveway, and trees) with twinkling lights that could rival a Christmas parade. But wait—before you spend all that money on strands of…
Read MoreBrother-Sister Relationships: Understanding the Tax Code
Your Comprehensive Guide to Understanding Brother-Sister Relationships in the Tax Code The U.S. tax code uses complex family relationships to determine tax responsibilities and compliance, and among these is the “brother-sister relationship.” In tax terminology, this concept applies not only to biological siblings but also to a range of business and family-owned structures. This blog…
Read MoreBeneficial Ownership Information: Who, What, and When?
Understanding Beneficial Ownership Information (BOI): What It Is, Filing Requirements, and Why You Need a Licensed Accountant The Beneficial Ownership Information (BOI) reporting is part of the U.S. government’s commitment to increasing transparency around business ownership. Under the Corporate Transparency Act (CTA), many companies must now disclose detailed information about their beneficial owners to the…
Read MoreInstallment Agreements: Do I Need to Setup a Payment Plan if I Owe the IRS?
Pros and Cons of Setting Up an IRS Installment Agreement When You Owe Taxes Owing taxes to the IRS can be a stressful situation, but an installment agreement may provide relief. This agreement allows taxpayers to pay their outstanding balance over time, making it an appealing option when faced with a large tax bill. However,…
Read MoreUnderstanding Tax Filing Requirements: A Comprehensive Guide on When to File Taxes
Navigating Tax Filing Requirements: What You Need to Know Filing taxes can be daunting, but understanding the requirements can make the process smoother and ensure compliance with IRS regulations. This guide will walk you through the essentials of tax filing, helping you determine when and how you should file your tax return. Do You Need…
Read MoreIn Bookkeeping, Do All Deposits Count as Income?
Not All Deposits Are Created Equal: Understanding Income Classification in Bookkeeping Bookkeeping is an essential part of managing any business’s financial health. It involves tracking income, expenses, assets, and liabilities to ensure accurate financial reporting. One common question that often arises is: “Do all deposits count as income?” The answer is not as straightforward as…
Read MoreIs Charitable Giving Tax Deductible?
Charitable Deductions and Taxes: Maximizing Your Giving Giving to charity not only supports causes you care about, but it can also provide valuable tax benefits. Charitable deductions are a way to reduce your taxable income, potentially lowering your tax bill. This comprehensive guide will explore the nuances of charitable deductions, how they impact your taxes,…
Read MoreAre Medical Expenses Tax Deductible?
Maximizing Your Tax Savings: Understanding Medical Expenses as Itemized Deductions Navigating the world of tax deductions can be confusing, especially when it comes to understanding which medical expenses are deductible. The Internal Revenue Service (IRS) provides guidelines for taxpayers to determine what medical costs they can deduct from their taxable income. In this comprehensive guide,…
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