INSIGHTS

We See Things Differently

When we’re not addressing clients’ needs for business and financial advisory, assurance or tax matters, we’re researching, learning and thinking about related subjects. Check out some of our thinking on a broad variety of topics that may impact your organization. And if you’d like to learn more about any of these topics, we’re always happy to talk.

Tax Center, Resources Jennifer Ferraro Randolph Tax Center, Resources Jennifer Ferraro Randolph

When are Gift & Estate Taxes due?

Are you aware of the deadlines for gift and estate taxes? Unlike traditional tax schedules, gift, estate, and inheritance taxes don’t have a specific day each year that they are due, making it easy to accidentally miss a deadline resulting in penalties or late fees.

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Tax Center Jennifer Ferraro Randolph Tax Center Jennifer Ferraro Randolph

Beware the Five-Year Rule for Roth IRA Withdrawals

What makes Roth IRAs so appealing, primarily, is the ability to withdraw money from them tax-free. But to enjoy this benefit, there are a few rules taxpayers must follow, including the widely misunderstood “five-year rule.” This article explains the ins and outs of this rule.

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Tax Center Jennifer Ferraro Randolph Tax Center Jennifer Ferraro Randolph

10 Red Flags for IRS Audits

Even though the overall IRS audit rate is currently low historically, it’s expected to increase as a result of provisions in the Inflation Reduction Act signed into law in August. So it’s more important than ever for taxpayers to follow the rules to minimize their chances of being subject to an audit. This article discusses some of the tax return items that might trigger scrutiny from the IRS.

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Tax Center Jennifer Ferraro Randolph Tax Center Jennifer Ferraro Randolph

Selling your home?

High demand for homes has created a seller’s market. Those thinking about selling their homes will want to determine whether they qualify for the home sale gain exclusion. This article details the exclusion’s requirements.

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Tax Center Jennifer Ferraro Randolph Tax Center Jennifer Ferraro Randolph

What a difference six months can make

Those who have money invested in the stock market are well aware of potential volatility. Needless to say, this volatility can affect a person’s net worth. Something many investors might not think about is the potential effect on estate tax liability. Specifically, if the value of stocks or other assets drops precipitously after a person’s death, estate tax could be owed on value that has disappeared. This article details how an executor can ease estate tax liability in this situation by electing to use an alternate valuation date.

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Tax Center Jennifer Ferraro Randolph Tax Center Jennifer Ferraro Randolph

Deferring a tax hit with a Sec. 1031 exchange

A Section 1031 exchange (also known as a like-kind exchange) allows commercial or investment real estate owners to avoid capital gains tax when selling the property by swapping qualifying properties. This article notes that recent legislation has cracked down on Sec. 1031 exchanges, but currently it’s still possible to use this technique for qualified real estate transactions. A sidebar explains multiple-party transactions.

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Insights, Tax Center Brett Friedman, CFP® Insights, Tax Center Brett Friedman, CFP®

5 Tax Planning Tips for Retirees

There’s a common misconception that, after retirement, tax bills shrink, tax returns become simpler and tax planning is a thing of the past. That may be true for some, but many people find that the combination of Social Security, pensions and withdrawals from retirement accounts increases their income in retirement and may even push them into a higher tax bracket. This article provides five tax-planning tips for retirees.

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Insights, Tax Center Brett Friedman, CFP® Insights, Tax Center Brett Friedman, CFP®

Rental real estate: Determining if a property is a business or an investment

If you own rental real estate, its classification as a trade or business rather than an investment can have a big impact on your tax bill. The distinction is especially important because of the 20% Sec. 199A deduction for certain sole proprietors and pass-through entity owners. This article provides a brief overview of the deduction and rental real estate guidance related to it. A sidebar spotlights the IRS definition of “real estate professional” as it relates to this tax matter.

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Insights, Tax Center Brett Friedman, CFP® Insights, Tax Center Brett Friedman, CFP®

Are you liable for “nanny taxes”?

When employing household workers — which may also include housekeepers, cooks, gardeners, health care workers and other employees — it’s important to understand the tax obligations, commonly referred to as “nanny taxes.” This article provides a quick review.

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