HMA

Is It Worth It to Amend Your Return?

Whether it makes sense to amend your return depends on which of these situations you’re in: If you owe the IRS If you discover an omission on your tax return that results in you owing additional tax, you need to correct it with an amendment and provide the tax due. Don’t delay if this is […]

Student Loan Forgiveness Creates New Tax Trap

There’s a new student loan repayment program that forgives some student loan debt if other payments are made. This new debt forgiveness is creating a tax surprise for the unsuspecting student. Here is what you need to know. The debt forgiveness program dilemma To combat the hardship of high student loan debt, a popular new […]

Manage Capital Gains Tax Tips

If not tracked and managed properly, capital gains tax can come as a large surprise at tax-filing time. In fact, many taxpayers don’t realize they have a capital gain until they get their 1099 form in January and see a capital gain distribution. Here’s what you need to know. Understand capital gains and their taxability […]

Dramatic Sales Tax Change

In a dramatic Sales Tax change, the U.S. Supreme Court issued a ruling in the South Dakota vs Wayfair case that opens the door for states to impose sales tax on sellers outside their borders. The case highlights a new standard of business presence called “economic nexus” that may have major implications for businesses and […]

The new shrunken Form 1040

The IRS recently debuted the new shrunken Form 1040, its a postcard-sized draft of Form 1040 that will be replacing all previous versions for 2018. While the form reduces the number of lines, six new schedules have been added. It’s likely that most taxpayers will be tasked with filing multiple forms.   Keep in mind […]

3 Debt-destroying Habits Everyone Should Follow

Staying out of debt is simple, but it’s not easy. It requires resilience — forgoing impulsive purchases in exchange for long-term financial freedom. You need to try these 3 debt-destroying habits everyone should follow. Personal debt can be categorized as necessary or unnecessary. Necessary debt can generally be linked to assets such as your home […]

Audit-proof Your Shareholder Loan

If you’re a business owner and your company lends you money, you’ll enter it in the books as a shareholder loan. However, if your return is audited, the IRS will scrutinize the loan to see whether it is really disguised wages or a dividend taxable to you as income.   Knowing what the IRS might […]

Switching Jobs This Summer? Don’t Forget Your Taxes

As you look forward to starting your new job, it’s important to keep in mind how your employment change will affect your taxes.  Here are three tax-smart tips that’ll put you in the best position come tax season if you’re switching jobs this summer:   Roll over your retirement plan. You may be tempted to […]

Considering Divorce? Think About Your Tax Filing Status!

The advantage of filing a joint tax return is well known — couples generally save money when compared with filing separately. However, there is at least one potential disadvantage. Both spouses are liable for the entire income tax bill, including interest and penalties, even if one earned most or all of the income. Divorce changes […]

How to handle a gap in health care coverage

A gap in Health care coverage happens. Whether because of job loss or an extended sabbatical between gigs, you may find yourself with a gap in health care coverage for a period. Here are some tax consequences you should know about, as well as tips to fix a coverage gap. Coverage gap tax issues You […]