IRS has extended a Deadline

/in , , /by

The IRS has extended the due date for the 2017 information reporting requirements under the Affordable Care Act, for insurers, self-insuring employers, and certain other coverage providers. Specifically, the date is extended for furnishing to individuals the 2017 Forms 1095-B (Health Coverage) and 1095-C (Employer-Provided Health Insurance Offer and Coverage). The new due date is March 2, 2018 (originally Jan. 31, 2018). No extension is granted for furnishing forms to the IRS, which are due on Feb. 28, 2018. (Notice 2018-6)

The IRS announces standard mileage rates for 2018

/in , , , , , /by

The optional mileage allowance for owned or leased vehicles (including autos, vans or pickups) will climb 1 cent to 54.5 cents per mile for business travel. Employers also can use this rate for reimbursements to employees who supply their own autos for business use, and to value personal use of certain low-cost employer-provided vehicles. The rates for using a car to get medical care and in connection with a move that qualifies for the moving expense deduction also increase by 1 cent, to 18 cents. (Notice 2018-3)

How would homeowners fare under the proposed tax law?

/in , , , , /by

The Tax Cuts and Jobs Act would make several changes. For example, it retains the mortgage interest deduction (subject to a $1 million cap) for mortgages that already exist on Nov. 2, 2017, as well as for those who entered into a binding written contract before that date. However, for newly purchased homes, the deduction would be limited to $500,000 and taxpayers would be limited to one qualified residence. The bill would also retain the property tax deduction, subject to a $10,000 maximum.

Retirement plans can make loans and hardship distributions to wildfire and Hurricane Maria victims

/in /by

The IRS has announced that employer-sponsored retirement plans can make loans and hardship distributions to victims (and members of their families) of Hurricane Maria and the California wildfires. In addition, even though IRA participants are barred from taking out loans, they may be eligible to receive distributions under liberalized procedures. Note that the IRS isn’t waiving the 10% penalty that applies to early withdrawals. Contact us for more information.