Our Most Recent Blog Posts

2020 Efile Personal Tax Start Date is Feb 12, 2021

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The opening day for filing 2020 individual returns electronically is scheduled for Monday, February 12, 2021, see IR-2021-16, which explains the February 12, 2021 start date for individual tax return filers allows the IRS time to do additional programming and testing of IRS systems following the December 27, 2020 Consolidated Appropriations Act (H.R. 133) tax law changes that provided a second round of Economic Impact Payments (EIP 2) and other benefits.

IRS Commissioner-BACKLOG of UNOPENED

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November 20, 2020
Currently, the IRS has approximately three million pieces of mail and one million returns that remain unprocessed, IRS Commissioner Charles “Chuck” Rettig said. The IRS mail backlog is down from where it sat at over five million last month.
Testifying before the House Ways and Means Oversight Subcommittee on November 20, Rettig told lawmakers that the IRS is “doing everything we can to reduce this [mail] backlog.” To that end, Rettig also detailed relief being provided for taxpayers who have sent the IRS mail that remained unopened for a certain period of time.
For more detail 

Read NSA's article here.

2018 FACTS on WHO PAYS TAX

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2018 FACTS on WHO PAYS TAX

The top 1% of individual filers paid 40.08% of all U.S. income taxes for 2018 per IRS (up from 2017’s figure of 38.47%).

The top 1% earned at least $540,009.

The top 5% earned at least $217,913 and paid 60.30% of total income tax.

The top 10%, those with AGIs (Adjusted Gross Income) of at least $151,935, paid 71.37% of the tax burden.

The bottom 50% of filers paid 2.94% of the total federal income tax take.

NOL 2020 COVID-19

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COVID-19 related changed to Net Operating Losses (NOL)

CARES Act reverses the general ban on carrybacks of NOLs by requiring NOLs arising in 2018, 2019 or 2020 to first be carried back five years, unless the taxpayer elects to instead carry the NOLs forward.  It suspends the 80% taxable income limit for NOLs in 2018 to 2020.

Donations for 2020 - new deduction

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Nonitemizers can claim an above-the-line deduction max of $300
for charitable 2020 cash contributions. 


Individuals not itemizing Schedule A can take both the standard deduction
and a max deduction of up to $300 in cash contributions. This is per return, meaning couples who file jointly can deduct only $300, not $600.

The 60%-of-AGI limit on charitable gifts of cash by individuals is suspended