Article Highlights: Public Safety Officers Medical Insurance Pension Distribution Exclusion The Public Safety Officers' Benefits (PSOB) Program Tax-Free Health and Disability Benefits Deductible Retirement Plan Contributions Special Tax Treatment for Early Retirement Distributions Public safety officers, including police officers, firefighters, emergency medical technicians (EMTs), and other first responders, dedicate their lives to serving and protecting their communities. Recognizing the risks and sacrifices associated with these professions, the United States tax code provides several benef ..read more

Article Highlights: What are Medicaid Waiver Payments? The Taxability of Medicaid Waiver Payments Earned Income Tax Credit (EITC) and Medicaid Waiver Payments Medicaid waiver payments have become a significant aspect of the healthcare and tax landscape in the United States, especially for individuals and families providing care to those who would otherwise require institutionalized services. This article delves into the intricacies of Medicaid waiver payments, exploring their definition, tax implications, their relationship with the Earned Income Tax Credit (EITC), and the correct method of re ..read more

Taxation is often overlooked in the shadowy world of counterfeit luxury goods, where the allure of high-end fashion meets mass production. While designer knockoff purses, shoes, and accessories may seem like harmless replicas at first glance, their presence in the market triggers a cascade of financial implications, for consumers and governments alike. In short, counterfeit luxury goods not only undermine the revenues of legitimate businesses but also pose significant challenges in terms of taxation. And, as 'superfake' handbags - fake luxury products that are almost indistinguishable from the ..read more

Now that most tax refunds are deposited directly into taxpayers' bank accounts, the dream of opening your mailbox and finding an IRS refund check is all but gone. However, the IRS still sends letters that can increase taxpayers' heart rates; because of extensive computer matching, the IRS does most of its auditing through correspondence. If you get an IRS letter in your mailbox, contact our office for assistance ..read more

Article Highlights: Health Savings Accounts Qualifications Tax Benefits As a Supplemental Retirement Plan Establishing and Contributing to an HSA Become Ineligible In the labyrinth of financial planning and tax-saving strategies, Health Savings Accounts (HSAs) emerge as a multifaceted tool that remains underutilized and often misunderstood. An HSA is not just a way to save for medical expenses; it's also a powerful vehicle for retirement savings, offering unique tax advantages. This article delves into who qualifies for an HSA, the tax benefits it offers, and how it can serve as a supplemental ..read more

Article Highlights: Gifting Considerationso Gift Tax Returno Gift Basiso Holding Periodo Home Sale Exclusiono Capital Gainso Special Considerations Inheritanceo Inherited Basiso Depreciation Reset Comparison A frequent question, and a situation where taxpayers often make tax mistakes, is whether it is better to receive a home as a gift or as an inheritance. It is generally more advantageous tax-wise to inherit a home rather than to receive it as a gift before the owner's death. This article will explore the various tax aspects related to gifting a home, including gift tax implications, basis c ..read more

Now that April 15 has come and gone, taxpayers are wondering what old tax records can be discarded. There is no fixed timeline, as it depends on the type of records and whether there were any omissions on the related tax return ..read more

Article Highlights: Special Schooling Learning Disabilities Non-Hospital Institutions Medical Conferences Auto Travel Trips Meals Lodging Vehicle Modifications Drug Addiction Home Modifications Childcare Credit Nursing Services For families who have disabled children or children with special needs, tax laws provide opportunities to save substantial amounts of money at tax time. Here is a rundown of tax-deductible expenses that parents may benefit from in addition to normal medical expenses. Special Schooling - For a child diagnosed with learning disabilities, tuition paid to attend a school de ..read more

The Massachusetts state legislature is currently deliberating on a bill that could have far-reaching consequences for the state's academic institutions, including heavy-hitters like Harvard University and the Massachusetts Institute of Technology (MIT). Titled "An Act to Support Educational Opportunity for All," the proposed legislation targets private universities in Massachusetts with endowments exceeding $1 billion. If passed, the bill would impose an annual 2.5 percent tax on all assets under management. For context, Harvard's endowment was valued at approximately $49.444 billion on June 3 ..read more

The landscape of tax legislation in the United States has been marked by constant evolution, with changes often reflecting the broader economic and political priorities of the time. One area that has seen significant shifts, and consequent uncertainty, involves the treatment of research and development (R&D) expenses. Historically, businesses could immediately deduct R&D expenses in the year they were incurred, a provision that encouraged innovation and investment in new technologies. However, the Tax Cuts and Jobs Act (TCJA) of 2017 introduced a significant change that has since cast ..read more