With the recent changes in tax law, many more taxpayers are taking the Standard Deduction, rather than itemizing deductions like taxes, mortgage interest and charitable contributions. Tax deduction or not, supporting the efforts of a nonprofit can be the right thing to do. But you want to make sure you preserve your deduction if you need it. Here are rules to remember if you make a gift to a charity to ensure your deduction.
When you consider your business, and the driving force behind it, you think of delivering excellent products and service, of innovating, of growing sustainably into the future. But do you think of record keeping? You should! It is one of the most critical functions involved in running a strong business.
If you’ve ever wanted tax simplification, where you can file your tax return on a postcard, you may have your wish. But maybe not… In the past, we had a Form 1040, a simplified 1040-A and an even more simplified 1040-EZ. Not many people fill out returns by hand anymore, but if you did, you might accidentally pick the wrong form. Starting with 2018 returns being filed now, there is only Form 1040, which will be the only form some taxpayers will file, but for everyone else, there are up to six additional schedules.
The full effects of The Tax Cuts and Jobs Act (TCJA) passed in December 2017 are being felt. There are so many tax changes (have you seen the new forms?), it could be years before all the changes are fully understood. If you haven’t figured it out yet, you may need to adjust your withholding, especially if your “refund” turned into a balance due.