The Government Shutdown: What Taxpayers Need to Know

Posting by Billy Thomas
UPDATE: With the end of the government shutdown, the IRS has resumed operations and is processing tax returns received since 10/1, as well as refunds. They have begun to respond to correspondence and requests, but do expect initial delays, as well as high call volumes.  For additional information on the transition and any associated delays, visit the IRS website.
With the government shut down, IRS operations are limited; according to its contingency plan, the IRS will only […]

IRS Issues Guidance for Correcting Employment Taxes on Same-Sex Spouse Benefits

Posting by Brian Wynne

As promised, the IRS yesterday issued guidance for employers who need to correct prior payroll tax withholding for employees previously taxed on certain same-sex spouse benefits. In Notice 2013-61, the IRS outlines two optional special procedures for correcting income tax withholding and Federal Insurance Contribution Act (FICA) tax withholding for all prior quarters in 2013. It also outlines the procedure for claiming refunds on prior years’ FICA taxes withheld.
The IRS announced last month in Revenue Ruling […]

IRS Announces Tax Guidance for Same-Sex Marriages

Posting by Brian Wynne

Yesterday the IRS ruled that all legally married same-sex couples will be treated as married for federal tax purposes, regardless of where they currently reside. The ruling is the first official guidance from the IRS since the Supreme Court ruled on June 26 that section 3 of the Defense of Marriage Act was unconstitutional.

After the Supreme Court ruling, there was uncertainty on how the federal government would treat same-sex couples legally married in a state that […]

Tax Strategies For the “Sandwich Generation”: Claiming Dependents Young and Old

Posting by Billy Thomas

The aging population and the challenging job market has “sandwiched” middle-aged Americans. As more and more elderly parents outlive their retirement savings
and unemployed college graduates return to the nest, this generation often finds themselves caring for either their adult children or their elderly parents, and sometimes both.

In both cases, the additional financial responsibility can significantly affect family finances. While the financial stress is certainly not the only factor worth considering, a quick review of the dependent […]

Fun in The Sun: Summer Camp Tax Credits

Posting by Brian Wynne, CPA

As we suffer through July’s heat waves, many summer day camps are in full swing, keeping kids occupied while we parents keep our noses to the grindstone.  In addition to convenient child care and stimulating educational experiences, day camps can also be a tax advantage to your family.

In addition to child care costs that are incurred throughout the school year, the IRS allows parents to consider the costs of summer day programs for the […]