Debunking Common Myths about Federal Tax Refunds Once people complete and file their tax return, many of them eagerly await any refund they may be owed. Knowing fact from fiction can help manage expectations as they wait for their money. Myth: Calling the IRS, a tax software provider or a tax professional will provide a more accurate refund date. Fact: The best way to check the status of a refund is through the Where’s My Refund? tool or the IRS2Go app. Taxpayers can also call the automated refund hotline at 800-829-1954 to get their refund status. This hotline ha ..read more

Parents: Check Eligibility for the Credit for Other Dependents The credit for other dependents is a $500 non-refundable credit available to taxpayers with dependents who are not eligible for the child tax credit. Taxpayers can claim this credit in addition to the child and dependent care credit and the Earned Income Credit. This information can help taxpayers determine their eligibility to claim this credit on their 2023 tax return: This credit can be claimed for dependents who: Are of any age, including those who are age 18 or older. Have Social Security numbers or Individual Taxpa ..read more

Tax Help for New Parents Parents have special tax situations and benefits. Tax breaks for parenting expenses can result in a lower tax bill and a higher refund. Here are some key things new parents need to know. Before filing, new parents should: Get the child a Social Security or Individual Tax Identification numberTo claim parental tax breaks, the taxpayer must have their child’s or dependent’s Social Security number, Adoption Tax Identification Number or Individual Tax Identification Number. Confirming a child’s birth is the only way the IRS can verify that the parent i ..read more

Selecting a Tax Professional as a Small Business Taxpayer When a small business decides to bring in a tax professional, they should know what to expect and how to select a reputable practitioner. The IRS has information and resources to make choosing a tax professional easier. What a small business can expect from a tax professional Tax professionals are often able to advise a small business on the most effective way to structure their business. For instance, they can help a business owner decide whether their business interests would be better protected as a sole proprietorship or if another ..read more

Required Minimum Distributions: Beneficiaries Beneficiaries of retirement plans and IRA accounts are subject to required minimum distribution (RMD) rules. The SECURE Act changed how and when beneficiaries who are individuals must take distributions for account owner deaths after 2019. There were no changes to the RMD requirements for beneficiaries where the account owner died prior to 2020 or to beneficiaries that are not individuals. Distributions to beneficiaries from qualified retirement plans If the distribution is from a qualified retirement plan, such as a 401(k) or profit-sharing plan ..read more

Taking Distributions From Your Retirement Plan or IRA Before Age 59 ½ Saving for retirement occurs over a period of perhaps 40 or more years. And over those 40-odd years, you may run into life-situations and need to withdraw from your retirement savings early. If you do, withdrawals are normally subject to ordinary income tax, and if taken prior to reaching age 59 ½ may be subject to an additional 10% tax. Here are a few things to consider before withdrawing from your retirement plan or IRA. Additional 10% tax on early distributions If you take distributions from retirement plans and IRAs befo ..read more

Updated Standard Mileage Rates for 2024 The IRS issued the new standard mileage rates effective January 1, 2024. The new business use rate is 67¢ per mile. This is up 1.5 cents from 2023. Additional new standard mileage rates include the following: 21 cents per mile driven for medical and moving purposes and 14 cents per mile driven in service of charitable organizations. These rates apply to electric and hybrid-electric automobiles as well. Please note that under the Tax Cuts and Jobs Act, taxpayers are unable to claim unreimbursed employee travel expenses as a miscellaneous itemized deduct ..read more

IRS Announces Withdrawal Process for Employee Retention Credit Claims; Special Initiative Aimed At Helping Businesses Concerned About an Ineligible Claim Amid Aggressive Marketing, Scams As part of a larger effort to protect small businesses and organizations from scams, the Internal Revenue Service today announced the details of a special withdrawal process to help those who filed an Employee Retention Credit (ERC) claim and are concerned about its accuracy. This new withdrawal option allows certain employers that filed an ERC claim but have not yet received a refund to withdraw their submiss ..read more

MNMW Hosting Annual FREE Shred Day Event to Benefit United Way Markham Norton Mosteller Wright & Co., P.A. (MNMW) will partner with All Points Mobile Shredding to host its seventh annual FREE Community Shred Day event on Friday, January 26, 2024, from 9 a.m. until noon. A Secure Shred, an All Points Company, truck will be on site at the Fort Myers MNMW location, 8961 Conference Drive. There will be a two-box maximum per person for shredding. This is a FREE event; however, MNMW encourages participants to consider a donation to United Way of Lee, Hendry, and Glades Counties when bringing th ..read more

MNMW Promotes Multiple Team Members As of October 1, 2023, Markham Norton Mosteller Wright & Co., P.A. (MNMW) promoted multiple team members. Alisha Angeloff, Daniela Georgieva, and Shan Yeung have been promoted to Manager in our tax division. Also, Emily Marcus, Cory Mahosky, CPA, and Debbie Thompson are now Supervisors in the tax division. In our Client Accounting and Advisory Services division, Michelle Adamson and Miranda Reisma have both been promoted to Senior Associates. “It is rewarding to watch our team grow with the firm and in their professions,” said Julio Barina, Partner at MN ..read more