Massive Changes to Retirement Planning
The Secure Act 2.0 passed Congress today (December 23rd) and it includes a massive amount of change to retirement planning. This 358-page law includes: Increases the age for mandatory RMDs from age 72 to age 73 starting in 2023, and... Read More →
When do I get my Middle Class Tax Refund from California?
This week the Governor signed AB192 which provides tax refunds for qualifying “middle class” taxpayers in an effort to provide relief from inflation. You will qualify if you: Have filed your 2020 tax return by October 15, 2021 Have California... Read More →
Real Time Identity Verification now available at MyFTB!
The Franchise Tax Board (FTB) announced today that you can now register for MyFTB without waiting for a Personal Identification Number (PIN) letter sent by snail mail. Beginning February 4, 2022, individuals and tax professionals may choose how to activate... Read More →
How to get your Advanced Child Tax Credit amounts for 2021
If you received an Advanced Child Tax Credit, you have to reconcile the amounts received on your 2021 tax return. If you report the wrong figure, then your return will get moved to the Manual Review pile, and once that happens... Read More →
Continued Woes at the IRS
The IRS is grossly underfunded and understaffed and over the past two years, Congress has made their job even harder by asking them to manage the delivery of stimulus payments and advanced child tax credits to millions of Americans. So, it... Read More →
Hey Californians… if you thought the IRS was tough, wait until you meet the Franchise Tax Board!
If you live or work in California then you are taxed by two income tax agencies: (1) The IRS at the federal level and (2) The Franchise Tax Board (FTB) at the state level. Many folks fear receiving a letter... Read More →
I haven’t received my refund.. what did you do wrong?
The common cry from taxpayers this year has been “I haven’t received my refund… what did YOU do wrong?!” Alas, me and preparers like me didn’t do anything wrong.. the issue is a chronic underfunding of the IRS. According to... Read More →
How to pay deferred self-employment tax
The CARES Act allowed self-employed individuals and household employers to defer the payment of some of their Social Security taxes on their 2020 tax returns. This was a one-time deferral. Half of the deferred amount is due by 12/31/21 and... Read More →
Beware: You might have to pay back the Advance Child Tax Credit
As part of the American Rescue Plan Act of 2021,there is an expanded child tax credit with an option for advance payments and of course, it is confusing so let’s try and break it down: 2020 Child Tax Credit Age 16... Read More →
Stimulus payments for small businesses and low-income Californians
The Governor has announced he will sign two bills today that will provide cash payments to qualified small businesses impacted by COVID-19 and lower-income families. Yesterday, the Legislature passed the following bills: SB 87 would codify and provide an additional... Read More →