Boy_anupong | Moment | Getty Images After higher yields in 2023, investors are bracing for interest rate cuts that could put a damper on shorter-term savings. Federal Reserve officials expect three quarter-percentage-point cuts in 2024, according to December meeting minutes released Wednesday. But there’s lingering uncertainty over when, or if, those changes may occur. More … Read more
The year-end is quickly approaching, but there’s still a chance to reduce your 2023 tax bill or boost your refund with some last-minute moves, experts say. Dec. 31 is the deadline for many tax-saving opportunities, which leaves limited time to take action. “It’s a little late to be super strategic,” but there’s still some “low-hanging … Read more
Praetorianphoto | E+ | Getty Images The $7,500 tax credit for new electric vehicles will be easier for many consumers to claim in 2024, but it may be more difficult for others. These opposing dynamics are due to federal policies taking effect at the same time. One policy kicking in Jan. 1 will allow car … Read more
Jgi/tom Grill | Tetra Images | Getty Images Does your year-end bonus look smaller than expected? Tax withholding is a likely culprit, but Uncle Sam may pay some back when you file an annual tax return, experts said. Bonuses are treated as taxable income, like wages in a typical paycheck. However, unlike wages, the IRS … Read more
Artistgndphotography | E+ | Getty Images 1. Tax brackets got wider When comparing tax year 2022 to 2023, there was a big adjustment to the federal income tax brackets, according to experts. While the rates didn’t change, there was roughly a 7% increase in the brackets, which expanded the amount of taxable income you can have … Read more
The Good Brigade | DigitalVision | Getty Images How IRS collection notices work Typically, CP14 is the first IRS notice for an unpaid tax balance, followed by three or four reminder letters, every five weeks, explained Darren Guillot, national director at Alliantgroup, who previously served as IRS deputy commissioner of the agency’s small business division. … Read more
IRS Commissioner Daniel Werfel testifies before the House Small Business Committee on July 17, 2013. James Lawler Duggan | Reuters The IRS has unveiled a “voluntary disclosure program” for businesses that claimed a pandemic-era tax credit in error and want to pay the money back. Worth thousands per employee, the employee retention tax credit, or … Read more
The Internal Revenue Service headquarters building in Washington, DC. Chip Somodevilla | Getty Images News | Getty Images WASHINGTON — A former Swiss finance executive pled guilty in New York federal court on Thursday to conspiring to defraud the United States in a tax evasion scheme known as the “Singapore Solution” that hid $60 million … Read more
Jgi/jamie Grill | Tetra Images | Getty Images The IRS is waiving roughly $1 billion in late-payment penalties for millions of taxpayers with balances under $100,000 from returns filed in 2020 and 2021. Some 4.7 million individual taxpayers, businesses, trusts, estates and nonprofit organizations are eligible for the relief, which amounts to about $206 per … Read more
Catherine Falls Commercial | Moment | Getty Images The page has almost turned on 2023 — and that means time is running out to make certain tax moves by year’s end, or else risk missing out on their benefits. Here are some tax strategies to consider before ringing in the new year, according to advisors … Read more
