Since the due date for filing 2022 federal (and New York) personal income tax returns is Tuesday, April 18, 2023, the due date for making IRA contributions for the 2022 tax year is also April 18, 2023. The dollar limit for 2022 IRA contributions remains $6,000 ($7,000 for those age 50 and older), and taxpayers must have earned income in order to make such contributions. For IRA contributions for...
As discussed in our post on January 3, 2023, the SECURE 2.0 Act raised the age for determining the beginning date for required minimum distributions (RMDs) from age 72 to age 73. This change applies only to individuals who reach age 72 after December 31, 2022. As a result, clients who reach the age of 72 during the 2023 tax year do not have to begin RMDs until 2024. ...
Some entities that filed their annual New York pass-through entity tax (PTET) returns in early February have begun to receive their PTET refunds by check. New York State still does not allow the 2022 PTET refund to be applied toward 2023 estimated taxes for PTET, and it still sends refunds by paper check instead of offering direct deposit. However, entities receiving refunds in about four weeks ...
The March 15, 2023 due date for the New York pass-through entity tax (PTET) is almost here. Click here to see our PTET tax news video on Instagram. Make sure that your clients file the annual PTET return for the 2022 tax year, or request an extension by that date. Also, make sure that your clients who can benefit from the election for 2023 make their applicable elections and schedule the first q...
During tax season, practitioners exchange documents with clients every day. These documents contain a treasure trove for identity thieves, so it is vital that practitioners help to make these exchanges secure. Email attachments that are not encrypted with a password are extremely vulnerable to interception by identity thieves. Practitioners must remind clients not to send sensitive informatio...
The IRS has issued guidance (IR-2023-23) on the federal tax treatment of payments made during 2022 by certain states to their residents. Many states are discussed in the guidance. For New York, the IRS has confirmed that the supplemental child credit and supplemental earned income tax credit issued by New York State in or around October 2022 are not included in a recipient’s federal gross inco...
Important due dates are quickly approaching for the New York pass-through entity tax (PTET). Click here to see our PTET tax news video on Instagram. See pages 57 through 72 of the Tax Year 2022 M+O=CPE Individual Tax Year-End Workshop Reference Book for an update of 2022 and 2023 issues for the PTET. Making Resident Electing S Corporation Election for 2022: S corporations that already made the N...
As discussed on pages 6 to 8 of the Tax Year 2022 M+O=CPE Individual Tax Year-End Workshop Reference Book, the credit for charging equipment for alternative fuel vehicles, such as electric vehicles or EVs, is claimed on Form 8911, Alternative Fuel Vehicle Refueling Property Credit. The credit is available for the 2022 tax year, In 2023, the rules for the credit change. As discussed on page 8 of ...
As discussed in our post on December 27, 2022, the IRS issued Notice 2023-10, which delays the implementation date of the lower filing threshold for Form 1099-K, Payment Card and Third-Party Transactions. The threshold for filing Form 1099-K for the 2022 tax year was scheduled to be $600 for the year, but the IRS delayed this lower threshold, so that the prior threshold (more than 200 transact...
The Treasury Department issued proposed regulations during 2022 regarding the rules for the new 10-year distribution requirement for inherited retirement accounts. Those rules surprised many, since they required annual distributions to occur for many beneficiaries, even though the beneficiaries are still subject to the new 10-year rule. Due to the reaction to the proposed regulations, the IRS re...
