HARIK THOMPSON CPAs

Tax and Timing for Medical Expenses

9/14/2022

Let's consider a married couple, whom we'll refer to as John and Blanche. Both suffer from serious health problems, and they expect to incur sizable medical expenses this year and next. So says Julian Block, an attorney and former IRS special agent.

What Is a Buy-Sell Agreement?

9/14/2022

A buy-sell agreement stipulates how a partner's share of a company will be reassigned if he or she either dies or walks away from the business. These agreements detail a reasonable sale price for the current owner’s interest as well as when and how each party's share will be distributed to those who'll assume control.

Is Work Clothing Deductible?

9/14/2022

Can you deduct clothes as a business expense? In some cases, you can deduct the amount you spent on the purchase and upkeep of work clothes. First, however, you must check that your purchase meets two requirements:

You must wear it as a condition of your employment.
The clothes cannot be suitable for everyday wear.

How To Make Use of Annuities

9/14/2022

You want a steady income stream during retirement — and an annuity may be just the ticket. But first, you need to understand annuities and their many choices. Basically, an annuity is a contract with an insurance company that promises a certain amount of money on a periodic basis for a specified time. Your contributions have tax advantages; investment earnings grow tax-free until you start withdrawals.

Medical Deductions for Doctor-Recommended Adjustments

8/31/2022

Taxpayers who claim their standard deduction amounts can’t deduct their medical costs. Only if they itemize on Form 1040’s Schedule A are they able to deduct such costs. Also, their expenses have to be for bills that aren’t covered by insurance, reimbursed by employers or otherwise satisfied. So says Julian Block, an attorney and former IRS special agent.

Student Loan Relief: The Basics

8/31/2022

President Biden has announced a new student loan relief program. According to the White House, the new program will "provide targeted debt relief to address the financial harms of the pandemic, fulfilling the President's campaign commitment. The Department of Education will provide up to $20,000 in debt cancellation to Pell Grant recipients with loans held by the Department of Education, and up to $10,000 in debt cancellation to non-Pell Grant recipients. Borrowers are eligible for this relief if their individual income is less than $125,000 ($250,000 for married couples)."

The Inflation Reduction Act: What Does It Contain?

8/31/2022

On August 12, Congress passed the Inflation Reduction Act, over 700 pages of economic changes. What does the act do? And just as important, what does it not do?

Home Office Deductions: More Complex Than They Seem

8/31/2022

It's not always easy to figure out which home office write-offs are acceptable and which are not approved by the IRS. Below is a summary of the key provisions to give you a better idea of what you are able to deduct with the IRS

What Are the Top Trust Errors?

8/17/2022

When you use a trust, you bypass probate, a lengthy legal process that validates your will, and you leave precise, legally binding instructions for how to distribute and potentially maintain your assets. Have a beneficiary with special needs who's ill equipped to manage the inheritance? Bequeathing complex assets that require ongoing attention after you're gone? A trust can help.

Gift Characterizations Cast Long Shadows

8/17/2022

Back in 1913, Woodrow Wilson began his first term as president, and Americans first filed Form 1040s. Right from the beginning, Congress told the IRS to enforce rigid rules for compensation and to forget about gifts. The IRS followed orders.

<<Previous

Tax and Timing for Medical Expenses

What Is a Buy-Sell Agreement?

Is Work Clothing Deductible?

How To Make Use of Annuities

Medical Deductions for Doctor-Recommended Adjustments

Student Loan Relief: The Basics

The Inflation Reduction Act: What Does It Contain?

Home Office Deductions: More Complex Than They Seem

What Are the Top Trust Errors?

Gift Characterizations Cast Long Shadows

Newsletter articles are posted every 2 weeks.

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Newsletter articles are posted every 2 weeks. ​

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Newsletter articles are posted every 2 weeks.