Erin Kidd, EA

traditional IRA vs. Roth IRA

2020 May be the Best Year to Convert a Traditional IRA to a Roth IRA

Differences Between Traditional and Roth IRAs The basic premise of a Traditional IRA is that it allows tax-deferred contributions.  This means that if certain criteria are met, taxpayers may deduct the amount of their contributions to their Traditional IRA from their income.  Taxes are paid on Traditional IRAs when distributions are taken. If income is…

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qualified disaster payments

Qualified Disaster Relief Payments Can Include Payments to an Employee

Are your employees struggling to pay everyday items due to COVID-19? There is a way you can help them by providing tax-free payments for assistance and still take a deduction as an ordinary and necessary business expenses.  On March 13, 2020, the president declared the COVID-19 pandemic a national emergency effective March 1, 2020.  This…

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fiduciary returns

Tax Payments for Virginia Fiduciary Returns No Longer Required to be Paid Online

Beginning with returns filed for 2019 tax years, Virginia fiduciary returns are no longer required to make payments electronically or request a waiver in order to not pay online.  A tax return preparer is still required to electronically file fiduciary returns, however. Beginning with returns due on or after January 1, 2018, all Virginia fiduciary…

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dc tax changes tax law

DC Reminds Residents and Businesses of Upcoming Changes to Tax Laws

On Monday, August 26, 2019, the District of Columbia Office of Tax and Revenue issued a reminder to taxpayers about upcoming tax changes.  Some of these changes involve the current calendar or tax year, while others begin October 1, 2019 or with the following tax year.  The tax changes below will take effect October 1,…

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tax relief refund

Who Will Receive the Virginia Tax Relief Refund and When?

The Commonwealth of Virginia passed state legislation in early 2019 in response to the Tax Cuts and Jobs Act which made significant changes to federal tax law.  Eligible taxpayers may receive up to $110 for individuals and $220 for married filing joint filers. Who is an Eligible Taxpayer? To be eligible for the 2019 Tax…

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2020 tax filing due dates

2020 Tax Filing Due Dates

Mark your calendars!  The calendar year 2020 due dates for Tax Year 2019 tax returns is now available.  For 2019 filings only two date filing dates have been adjusted for weekend occurrences. Whenever a regular tax filing date falls on a Saturday, Sunday, or a legal observed holiday in the District of Columbia, the due…

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identity theft

Tips to Safeguard Your Personal Data and Avoid Identity Theft

For the last four years the IRS has convened a Security Summit with leading private sector firms and federal and state tax administrators and industry professionals. Their focus is to discuss ways to combat existing and emerging threats to the personally identifiable information of taxpayers and develop ways to prevent identity theft and the fraud…

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Frequently Asked Tax Questions from Divorcing Couples

Divorce is a common and sticky tax issue.  We have provided examples of some questions from our fictional client couple, Jane and John Smith.   The responses from their trusted advisor are in blue. Jane and John are in the process of an amicable divorce and are already living separately. They do not have a prenuptial…

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tax return extension

An Extension May Be the Best Business Decision for Your 2018 Tax Return

By now you have most likely heard from your tax advisor or via news outlets about the Tax Cuts and Jobs Act (TCJA).  The biggest tax overhaul since 1986, these new rules – along with new revenue recognition rules and partnership audit rules – have given individuals, business owners, and their advisors a great deal…

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2019 Tax Filing Due Dates

2019 Tax Filing Due Dates

Looking for 2020 Tax Filing Due Dates?  Click Here for the newest list. The Tax Cuts and Jobs Act, passed late December 2017 brought many changes to the tax code, however it did not change the statutory due dates for filing taxes. Whenever a regular tax filing date falls on a Saturday, Sunday, or a legal observed…

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