extension

Victims of the Pawnee Fire in Lake County Get Tax Relief

Victims of a California wildfire, dubbed the Pawnee Fire in Lake County, get tax relief from the CA Employment Development Dept. (EDD). Employers directly affected by the fire (which started on 6/23/18) may request a 60-day extension to accomplish some tax-related tasks. The tasks include filing state payroll reports and paying state payroll taxes. No penalty or interest will be charged to employers that are granted extra time. A written request for an extension must be received by EDD within 60 days from the original delinquent date for payments and returns.

By |July 12th, 2018|ca, extension, tax|0 Comments

New PATH Act Provides Major Benefits to Businesses in 2015

With only two weeks remaining until the end of the year, Congress passed the Protecting Americans from Tax Hike (PATH) Act of 2015, which reinstates a large number of tax provisions that had expired in 2014, many of which were not just renewed, but made permanent, while some of the other provisions are extended through 2016, and in some cases, 2019. This gift from Congress comes just in time for the holidays and will have a significant impact on tax payers and businesses. Below are some of the major provisions worth noting. And because California does not conform to some of these tax breaks, please contact us so we can help with your individual and year-end tax planning.

Highlights of the PATH Act:

  • $622 Billion Tax Break Package
  • Over 100 Separate Provisions
  • Permanent Research Tax Credit, Code Sec. 179 Expensing and AOTC (American Opportunity Tax Credit)
  • Five-Year Extension for Bonus Depreciation
  • Delay of Excise Tax on “Cadillac” Plans
  • Moratorium on Medical Device Excise Tax
  • Overall Major IRS Reform

Permanent Extensions for Individuals

  • Earned income tax credit
  • American Opportunity Tax Credit
  • Child tax credit
  • Option to to deduct state and local sales and use taxes instead of state and local income taxes
  • Teachers classroom expense deductions
  • Charitable distributions for IRAs
  • Qualified […]
By |December 29th, 2015|congress, extension, extensions, irs|0 Comments

IRS Automatically Extends Filing for Certain Estates Electing Portability

In estate planning, the concept of “portability” of a deceased spouse’s unused exclusion (DSUE) amount is relatively new. For decedents dying after December 31, 2010, if a first-to-die spouse has not fully used the estate tax exclusion, the DSUE amount can be transferred to the surviving spouse. This was originally passed as a two-year temporary provision until it was made permanent in the American Taxpayer Relief Act of 2012. Estate tax returns are usually required to be filed within 9 months of death to make the deceased spousal unused exclusion election. The IRS released Revenue Procedure 2014-18, providing an automatic extension for certain estates of decedents dying in 2011, 2012 and 2013 to elect portability. The extension applies to estates that would otherwise not have had a filing requirement, and allows the estates to file a return to elect portability until December 31, 2014. It includes the estates of same-sex decedents who were not eligible to elect portability until after the Windsor decision (United States v. Windsor recognized same-sex marriages for purposes of determining marital status of taxpayers under the Internal Revenue Code, the IRS has issued Revenue Procedure 2014-18 to grant limited relief for late elections).

This revenue procedure applies only […]

By |October 28th, 2014|estate, extension, tax|0 Comments

Highlights of the New Tax Deal

  • 39.6% Tax Rate for Incomes Above $400,000 ($450,000 for Families)
  • All Other Bush-Era Tax Rates Extended
  • 20% Maximum Capital Gains/ Dividend Tax Rate
  • Maximum 40% Estate/ Gift Tax Rate
  • Permanent AMT Patch
  • Five-Year Extension of Enhanced Education Credit
  • One-Year Extension of Many Business Extenders
  • Over 30 Extenders Retroactive to Start of 2012