Under default IRS rules, rental real estate activities are considered passive, regardless of how much time the taxpayer spends managing properties. Passive losses generally can only offset passive income, and unused losses must be carried forward. However, taxpayers who qualify as real estate professionals may treat rental activities as nonpassive, which allows: ✔ The ability
As the year wraps up and everyone’s busy before New Year’s Eve, the IRS has one more reminder for those with retirement accounts: Required Minimum Distributions (RMDs). If you’re age 73 or older (or turning 73 this year), most tax-deferred retirement accounts — traditional IRAs, 401(k)s, 403(b)s, etc. — require you to take a minimum
As we wrap up another year and prepare our checklists for 2026 tax season, it turns out the IRS has been working on its own New Year’s resolutions. And no, it’s not planning to “eat healthier” — but it is promising to be more forgiving. Thanks to the One Big Beautiful Bill Act (OBBBA), one
As we approach year-end, savvy business owners and high-income individuals should consider one important strategic move: accelerating charitable donations in 2025. Why? Because starting in tax year 2026, the tax benefit for many large donors will shrink under new federal legislation. Beginning with the 2026 tax year, donors who itemize will only be able to
When Congress passed the American Rescue Plan Act (ARPA) in 2021, it lowered the Form 1099-K reporting threshold to $600 — with no transaction minimum. That rule, even if delayed several times, would have drastically expanded the number of Forms 1099-K issued, pulling in even casual transactions like splitting rent or selling used personal items.
The IRS has released early details for a brand-new tax-advantaged savings vehicle designed exclusively for children under age 18 with a valid Social Security number: the Trump Account. The program is similar in concept to a traditional IRA—except it is built specifically to help U.S. children accumulate long-term, market-based savings from birth through adulthood. While
As of October 2025, Congress has passed (and the bill now heads to the President for signature) the Internal Revenue Service Math and Taxpayer Help Act (H.R. 998) — a bipartisan measure aimed at making the IRS’s “math and clerical error” notices clearer and more transparent. If you’ve ever felt confused by an IRS notice,
Starting with the 2026 tax year, the IRS will introduce a new form — Schedule 1-A — to capture several expanded deductions approved in the One Big Beautiful Bill Act (OBBA) that many taxpayers might overlook or might not claim. This new schedule allows individuals under certain income thresholds to report and deduct:Tips received from
Thanks to main media and even the IRS, many people are familiar how on Americans miss over $1 billion dollars each year in unclaimed tax returns (missing tax credits, lost or undelivered checks, not filed return when there is a refund, etc.). Remember that if a tax refund is not claimed within the three-year period,
Last night, President Trump officially ended the longest government shutdown in U.S. history. Federal employees are now returning to work — including national park staff and rangers, air traffic controllers, CBP officers, military personnel, and many others across agencies such as HHS, HUD, DOE, and EPA. Travelers can also breathe a sigh of relief: with
