A federal tax credit for the purchase and installation costs of a residential solar system is fading away. After being 30% of the cost for several years through 2019, the credit amount drops to 26% in 2020 and then 22% in 2021, the final year of the credit. The credit is non-refundable, meaning it can only reduce an individual’s tax liability to zero. However, the portion of credit that is not allowed because of this limitation may be carried to the next tax year and added to the credit allowable for that year. The tax code infers that any credit carryover can be added to the credit allowed in the subsequent year. However, what is unclear is whether any carryover will be allowed to 2022 once the credit expires at the end of 2021. In addition to the credit reducing the regular tax, it also reduces the alternative minimum tax should a taxpayer be subject to it. @hdmtaxgroup #linkinbio
The federal credit for the purchase and installation costs of a residential solar-power system is fading away and will no longer be available after 2021; plus, the credit itself is being reduced.
HDMTAXGROUP.COM
Solar Tax Credit is Sunsetting Soon
This is how much the average amount Americans pay in federal income taxes, broken down by income level.
BUSINESSINSIDER.COM
The average amount Americans pay in federal income taxes, by income level
Transform your life. Wednesday Wisdom from HDM Tax Group
The decision concerning whom you designate as the beneficiary of your traditional IRA is critically important and affects the minimum amounts you must withdraw from the IRA when you reach age 72, who will get what remains in the account after your death, and how that IRA balance can be paid out to beneficiaries.
HDMTAXGROUP.COM
Keeping Your Designated IRA Beneficiary Current is Important
The tax filing extension deadline, October 15th, is just around the corner. Here is a quick reminder of what you need to know.
6 Steps for Success in Life... 1️⃣ Build a Growth Mindset 2️⃣ Improve Your Emotional Intelligence 3️⃣ Develop Mental Toughness 4️⃣ Strengthen Your Willpower 5️⃣ Focus on Intrinsic Motivations 6️⃣ Nurture Traits Linked to High Potential @hdmtaxgroup
The Department of Justice has charged Robert Brockman, a Texas billionaire, with the biggest tax fraud case in U.S. history.
THEHILL.COM
Justice Dept. charges Texas billionaire with biggest tax fraud case in US history
Transform your life. Wednesday Wisdom from HDM Tax Group
Are you an investor in stocks, bonds, mutual funds, etc.? If so, when you sell those securities, you will undoubtedly want to minimize your gains or maximize your losses for tax purposes. To do that, you'll need to know your tax basis in the investment (asset), which makes it important to keep track of the basis in all your investments.
HDMTAXGROUP.COM
Are You Keeping Track of Your Investment Basis?
Another handy use for your smartphone: starting this month, the IRS is adding a QR code to its tax notices so you can scan it, securely access your account, set up a payment plan, or contact the Taxpayer Advocate Service.
FORBES.COM
Pay With Your Smartphone: IRS Adds QR Codes To Tax Bills
You have probably heard others discussing living trusts but may not understand the reasons for them or whether you should have one.
Living trusts are an estate-planning tool, and there is not a one-type-fits-all living trust. Each one is customized to suit the special circumstances of the individual for whom it was created. The vast majority of the population can get by without using a living trust, and a simple will is perfect for most people, unless their estate is large or there are some special circumstances to deal with. There actually are two types of these trusts: revocable and irrevocable. As the names imply, an irrevocable trust generally cannot be undone once made, while the provisions of a revocable trust can be changed or rescinded as long as the grantor (the individual who established the trust) is still living. A living trust becomes irrevocable when the grantor passes. #linkinbio @hdmtaxgroup
CNBC.COM
Vast migration of over 14 million Americans coming due to rise in remote work, study shows
14 million to 23 million Americans "are planning to relocate to a new U.S. city or region due in part to the growing acceptance of remote work," according to a new report.
CNBC.COM
Vast migration of over 14 million Americans coming due to rise in remote work, study shows
HDM Tax Group
Yesterday at 2:26 PM ·
To say COVID-19 has made 2020 a disastrous year for just about everyone would be an understatement. However, 2020 gives rise to more than the usual tax planning opportunities. Watch this video to learn about these possibilities.
HDM Tax Group
Yesterday at 2:26 PM ·
To say COVID-19 has made 2020 a disastrous year for just about everyone would be an understatement. However, 2020 gives rise to more than the usual tax planning opportunities. Watch this video to learn about these possibilities.
We tend to focus on changing the big things in our lives not realizing that what really matters and what we need to focus on first are the small things or habits that we do. The habits we do daily that affect most of our days. May it be a gratitude you say to yourself every morning, a good breakfast you have before you start the day, or even up to the tiniest things like choosing what color of shirt you'll wear that day. These habits may be small and we don't even think about them that much but if you take time to reflect, these habits represent YOU. 💯
Which habit represents you best?
We'd love to know! 👇
#habits #saturdaythoughts #hdmtaxgroup #hdmtax #payroll #accounting #bookkeeping #taxpreparation #taxpreparationservices #taxprepnj #hackensacknj #hackensack #bergencountrynj #newjerseyaccounting #accountingnj #njaccounting #financialhelpservices #financialfreedom
FORBES.COM
IRS Warns On New Scam Related To Stimulus Checks
If you were a victim of a major natural disaster, the Taxpayer Certainty and Disaster Tax Relief Act of 2020 has special rules about retirement plan and IRA distributions, retirement plan loans, how to compute disaster losses, and relief for non-itemizers. Employers may qualify for a new employee-retention credit.
HDMTAXGROUP.COM
Tax Relief for Victims of 2020 Natural Disasters
Save yourself from all the stress and hassle! 💯
Tax time is just around the corner, and if you are like most taxpayers, you are probably facing the ominous chore of compiling records in preparation for your tax appointment—whether in person, by videoconference or telephone. The difficulty of this task depends upon how well you maintained your tax records throughout the year. No matter how good your record keeping was, being fully prepared for your tax return preparation will give us more time to:
• Consider every possible legal deduction;
• Evaluate which income reporting methods and deductions are best suited to your situation;
• Explore current law changes affecting your tax status; and
• Talk about tax-planning alternatives that could reduce your future tax liability.
Happy Tuesday! 🙏🏻
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#taxtime #taxseason #hdmtaxgroup #hdmtax #payroll #accounting #bookkeeping #taxpreparation #taxpreparationservices #taxprepnj #hackensacknj #hackensack #bergencountrynj #newjerseyaccounting #accountingnj #njaccounting #financialhelpservices #financialfreedom
Looking to be inspired as a business owner in 2021? Here are 11 books for entrepreneurs to read (or reread) this year.
ENTREPRENEUR.COM
11 Business Books Entrepreneurs Must Reread in 2021
A little inspiration from HDM TAX GROUP to start your week.
Unless there's a pull sign on it,then pull it! 👆🏻 Because everything you ever wanted is on the other side of fear. Go get it!
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#mondaygrind #doorofopportunity #pushyourself #faceyourfears #hdmtaxgroup #hdmtax #payroll #accounting #bookkeeping #taxpreparation #taxpreparationservices #taxprepnj #hackensacknj #hackensack #bergencountrynj #newjerseyaccounting #accountingnj #njaccounting #financialhelpservices #financialfreedom
"Millions of Americans tapped 401(k) and IRA balances to access emergency cash amid the Covid pandemic, as allowed under the federal CARES Act." Here are the tax issues to consider if you were one of them.
CNBC.COM
Here are tax issues to consider if you tapped retirement account to weather 2020
