Where Do We Currently Stand with the AMT Patch? Bush Tax Cuts?

Taxpayers are getting nervous. The IRS is getting nervous. Lawmakers are...working on it. With so many questions still lingering regarding the fate of AMT and the Bush tax cuts following the midterm elections, uncertainty is clouding  many taxpayers' year-end tax planning efforts.

So where do we currently stand with AMT? This article from The Hill sheds some light on the widely expected patch that will yet again surface. And what about the Bush Tax Cuts? Forbes has provided some potential outcomes along with their likelihood in this recent article.

In the end, it is hard to believe that any significant changes will take place between now and December 31st. Rather, we will likely see a year-end scramble to preserve  the status quo and table discussions about their future until 2011, when a similar chain of events will likely repeat itself.

A Closer Look at the 1099 Reporting Requirements Coming in 2012

It wasn’t long after the passing of the Patient Protection and Affordable Care Act (H.R. 3590) that people were alerted to the adjustments made to the business expense reporting requirements taking effect in 2012. These changes, which were thought to have been introduced to help fund the health reform bill, are a game-changer in the 1099 reporting world which had mostly been reserved for reporting payments to independent contractors. Simply stated, businesses (sole proprietors, partnerships, corporations, etc.) will now be required to issue a 1099 for all goods and services purchased with a cumulative total of $600 or more received from ANY, non tax-exempt business.

The IRS May Take a Closer Look at Home Mortgage Interest Deductions

A July 2009 report on Home Mortgage Interest Deductions by the Government Accountability Office has received a lot of publicity recently. The report highlights the tremendous amount of confusion on how to appropriately report Mortgage Interest. And many people speculate that the IRS will soon pay more attention to how people report their Home Mortgage Interest.

Is the White House Pulling the Emergency Break on Cash for Clunkers?

Its official, Cash for Clunkers is a hit. Dealerships throughout the country are being inundated with prospective car buyers anxious to send their clunkers to the junkyard for up to $4,500 in government issued rebates. But with two months still left for the Car Allowance Rebate System (CARS), is the White House ready to pull the plug on the program?

Is There Change on the Horizon for Business Meal and Entertainment Tax Deductions?

The business meal and entertainment tax deduction may soon change from an appetizer to a main course. U.S. Representative Neil Abercrombie (HI) has reintroduced a bill to the 111th Congress that aims to increase the business meal and entertainment tax deduction from 50% to 80%. Cosponsored by three U.S. Representatives, House Bill 3333 has been floating throughout congress in some capacity for several years. Most recently, Representative Abercrombie’s 2007 version of the bill (H.R 2648) died in the 110th Congress after being referred to the House Committee on Ways and Means. The bill has also been presented to the Senate during previous sessions, always suffering the same fate.

With Health Care Expenses on the Rise, What Will Become of Current Tax Deductions?

Regardless of where you stand on the health care debate currently taking center stage in U.S. political discussions, there is one thing we all can agree on – health care is expensive, very expensive. Whether in the form of health insurance premiums, prescription drug costs or hospital bills, health care expenses can make a substantial impact on any family’s budget.

2009 Tax Code Changes Affecting the Unemployed

We just got back in the office from a long week at the IRS Nationwide TaxForum, and we have a lot to share about 2009 tax code changes. In light of the current economic crisis our country is facing, the IRS has announced changes to the ’09 tax code that may provide some relief to taxpayers who have recently become unemployed. While the level of benefit for these changes may be marginal for some, it is important to gain awareness of the changes sooner rather than later.