News

Relief for Taxpayers Struggling With Tax Debts

While there have always been payment options available from the IRS to help taxpayers struggling to pay tax debts, the new IRS Taxpayer Relief Initiative was put into place to expand these options and offer relief during the pandemic. These revised COVID-related collection procedures will help taxpayers, especially those who have a record of filing…

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2021 Tax Deadlines

Jan. 15, 2021: Deadline to pay the fourth quarter estimated tax payment for tax year 2020 Feb. 1, 2021: Deadline for employers to mail out W-2 Forms to their employees and for businesses to furnish 1099 Forms reporting non-employee compensation, bank interest, dividends, and distributions from a retirement plan Feb. 1, 2021: Deadline for financial institutions to mail out Form 1099-B relating to sales…

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Tax Filing Season Starts February 12

Although tax season usually starts in late January, this year, the tax filing season is delayed until February 12, 2021. The delayed start date for individual tax return filers allowed the IRS time to do additional programming and testing of IRS systems following the December 27, 2020, tax law changes that provided a second round…

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Jarrard, Nowell & Russell, LLC moves in, moves on

Based in Charleston, S.C., since its founding in 2005, Jarrard, Nowell & Russell, LLC, has now consolidated three of its four offices to combine operations into a larger 3,850 sq. ft. office space, which sits on the second floor of Bank of South Carolina’s latest location. “It took some time, but we wanted to get…

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Employee Business Expense Deductions: Who Qualifies?

Prior to tax reform, an employee was able to deduct unreimbursed job expenses, along with certain other miscellaneous expenses, that was more than two percent of adjusted gross income (AGI) as long as they itemized instead of taking the standard deduction. Starting in 2018, however, most taxpayers can no longer claim unreimbursed employee expenses as…

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Important Tax Changes for Individuals and Businesses

Every year, it’s a sure bet that there will be changes to current tax law and this year is no different. From standard deductions to health savings accounts and tax rate schedules, here’s a checklist of tax changes to help you plan the year ahead. Individuals In 2021, a number of tax provisions are affected…

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Beware of Gift Card Tax Scams

For example, there are many reports of taxpayers being asked to pay a fake tax bill through the purchase of gift cards. While gift cards are a popular and convenient gift for all occasions, they are also a tool that scammers use to steal money from people. Scammers often target taxpayers by asking them to…

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Retirement Contributions Limits Announced for 2021

Cost of living adjustments affecting dollar limitations for pension plans and other retirement-related items for 2021 are as follows: 401(k), 403(b), 457 plans, and Thrift Savings Plan. Contribution limits for employees who participate in 401(k), 403(b), most 457 plans, and the federal government’s Thrift Savings Plan remains unchanged at $19,500. The catch-up contribution limit for…

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Business Tax Provisions: The Year in Review

Standard Mileage Rates The standard mileage rate in 2020 is 57.5 cents per business mile driven. Health Care Tax Credit for Small Businesses Small business employers who pay at least half the premiums for single health insurance coverage for their employees may be eligible for the Small Business Health Care Tax Credit as long as…

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Individual Taxpayers: Recap for 2020

Personal Exemptions Personal exemptions are eliminated for tax years 2018 through 2025. Standard Deductions The standard deduction for married couples filing a joint return in 2020 is $24,800. For singles and married individuals filing separately, it is $12,400, and for heads of household, the deduction is $18,650. The additional standard deduction for blind people and…

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