MA Releases Individual Mandate Penalties for 2025
The Massachusetts Department of Revenue (MA DOR) has released the 2025 penalty schedule for individuals who fail to comply with the requirements under...
EV Charger Installation Reminder
According to the filing instructions for Federal Form 8911, the refueling property must be in an eligible census tract...
2025 Standard Business Mileage Rate Increases to 70 Cents Per Mile: Other Rates Unchanged
The IRS has issued the 2025 standard mileage rates and other amounts that are used to calculate deductible vehicle expenses. (IR 2024-312, 12/19/2024; Notice 2025-05, 2025-4 IRB)...
IRS Reminds Taxpayers 73 and Older to Take RMDs by Dec. 31
The IRS has reminded taxpayers 73 and older to take their required minimum distributions (RMDs) from individual retirement arrangements (IRAs) and other retirement plans by December 31, 2024...
Qualified Charitable Distribution from an IRA
Taxpayers who are age 70 ½ or older have the option to have a qualified charitable distribution (QCD) be taken from their IRA...
529 Plan to ROTH IRA Rollover
The SECURE 2.0 Act allows, effective January 1, 2024, unused Sec. 529 funds to be transferred to a Roth IRA with the following restrictions...
MA Lowers Interest Rates for First Quarter 2025
The Massachusetts Department of Revenue (DOR) has announced the interest rates for the first quarter of 2025, which are 1% lower than the rates for the fourth quarter of 2024. The 2025 first quarter interest rates are 6% simple interest for tax overpayments...
Interest Rates Remain Unchanged for Q4 2024
The IRS announced interest rates for the calendar quarter beginning October 1, 2024. (IR 2024-220, 8/21/2024)
For individuals, the rate for overpayments and underpayments will be 8% per year, compounded daily...
For individuals, the rate for overpayments and underpayments will be 8% per year, compounded daily...
New MA Fraud Prevention Program
MA Department of Revenue (DOR) has launched a new process to give taxpayers more control of their personal information ...
MA Tax Amnesty Program ends December 31, 2024
The 2024 Massachusetts Tax Amnesty program has officially begun. During this 60-day program, ending on Dec. 30, 2024, eligible taxpayers can benefit from having penalties...
Interest Rates for the Third Quarter of 2024 - May 14, 2024
The IRS announced that interest rates will remain the same for the calendar quarter beginning July 1, 2024. (IR 2024-138, 5/9/2024) For individuals, the rate for overpayments and underpayments will be 8% per year, compounded…
‘Where’s My Refund?’ Tool Enhanced for 2024 Filing Season - March 14, 202
The IRS Where’s My Refund? tool has been enhanced for the 2024 filing season. It now provides taxpayers with the following information: IRS confirmation of receiving a federal tax return, approval of the tax refund and issuing…
MA Individual Mandate Penalties for Tax Year 2024 - February 4, 2024
The MA Department of Revenue has released the 2024 penalty schedule for individuals who fail to comply with the requirements of the Massachusetts Health Care Reform Act. The penalties apply only to adults who are…
FinCEN Updates Beneficial Ownership Information Reporting FAQs - January 25, 202
In January 2024, the Financial Crimes Enforcement Network (FinCEN) updated its frequently asked questions on the Beneficial Ownership Information (BOI) Reporting requirements. In 2021, Congress passed the Corporate Transparency Act (CTA). The CTA requires many entities doing…
Individual Tax Filing Season Starts January 29, 2024 - January 9, 2024
The IRS announced that on Monday, January 29, 2024, it will begin accepting and processing 2023 returns. This year, the tax filing deadline for most taxpayers is April 15, 2024. However, taxpayers in Maine and…
Many Companies Required to Report Information to FinCEN - January 2, 2024
Starting 1/1/24, the new Beneficial Ownership Information (BOI) reporting rules go into effect, requiring many businesses (i.e.; corporations, limited liability companies, partnerships, and other business entities) to report information about individuals who own or control…
IRS Reminder: Those Aged 73 and Older Make RMDs by Dec. 31, 2023 - December 21, 2023
The IRS has reminded people born before 1951 of the year-end deadlines to take required minimum distributions (RMDs) from funds held in IRAs and other retirement plans and noted new requirements under the law beginning…
Final 2023 Quarterly Estimated Payment Due Jan. 16, 2024 - December 19, 2023
The IRS is reminding taxpayers that the fourth quarter 2023 estimated tax payment (ES) is due on January 16, 2024. Taxpayers who will owe taxes for 2023 should make a payment to avoid a penalty…
IRS Issues 2024 Standard Mileage Rates - December 16, 2023
The IRS has issued the 2024 standard mileage rates for calculating the deductible costs of operating an automobile for business, charitable, medical or moving purposes. (IR 2023-239, 12/14/2023; Notice 2024-8, 2024-2 IRB) Beginning on January 1,…
HIRD Deadline December 15, 2023 - December 13, 2023
December 15 is the final day for employers to file their Health Insurance Responsibility Disclosure (HIRD) form. HIRD is for employers who must report on employer-sponsored insurance. Check out the HIRD FAQ page for more…
Interest Rate of MA Overpayments And Underpayments - December 5, 2023
The Massachusetts Department of Revenue announced the quarterly interest rate on overpayments and underpayments pursuant to G.L. c. 62C, §§ 32 and 40, as amended. 2024 First quarter Overpayments 7% Underpayments 9% 2023 Fourth quarter…
Guide to Massachusetts Estate Tax Updated - November 30, 2023
The Massachusetts Department of Revenue has updated its guide to estate taxes to reflect recent law changes effective for estates of decedents dying on or after January 1, 2023. The new law amended the estate…
Form 1099-K Reporting Threshold Change Delayed, Phase to Start 2024 - November 22, 2023
After facing pushback from the tax community and third-party payment facilitators, the Form 1099-K reporting threshold will remain unchanged for calendar year 2023 in lieu of a phased-in approach beginning next year to allow more…
Interest Rates Hold Steady for Q1 2024 - November 21, 2023
The IRS has announced that over/under payment interest rates will remain the same for the calendar quarter beginning January 1, 2024. (IR 2023-219, 11/17/2023; Rev Rul 2023-22, 2023-49 IRB) The interest rates for the first quarter…
401(k) Contribution Rises to $23,000 in 2024; IRA to $7,000 - November 2, 2023
The IRS announced that the amount individuals can contribute to their 401(k) plans in 2024 has increased to $23,000, up from $22,500 for 2023. (Notice 2023-75, 2023-47 IRB; IR 2023-203) Highlights of changes for 2024 The…
MA 2023 Circuit Breaker Credit Threshold Amounts - October 31, 2023
The Massachusetts Department of Revenue has updated the real estate tax credit against personal income tax available to a Massachusetts taxpayer age 65 or older who owns or rents his or her principal residence and…
Social Security Administration Announces Latest Increase - October 26, 2023
The Social Security Administration announced the latest Cost of Living Adjustment (COLA) is 3.2 percent for Social Security benefits and Supplemental Security Income (SSI) payments. Social Security benefits will increase by 3.2 percent beginning with…
Beneficial Ownership Reporting Starts January 1, 2024 - October 9, 2023
Beginning on January 1, 2024, many companies in the United States will have to report information about their beneficial owners, i.e., the individuals who ultimately own or control the company. They will have to report…
Governor Healy Signs Tax Relief Bill Retroactive to January 1, 2023 - October 7, 2023
The relief bill was signed on October 4, 2023. Below is a snapshot of some of the changes: Short term capital gains rate reduced to 8.5% Single sales factor apportionment for MA businesses based solely…
Q3 2023 Estimated Tax Payments Due - September 8, 2023
Third quarter estimated tax payments are due September 15, 2023. If mailing, certified return receipt requested is recommended.
Modernization Efforts at the IRS - August 4, 2023
In 2022, the Inflation Reduction Act was signed into law. The Act includes nearly $80 billion in additional new funding for the IRS over the next 10 years. On April 6, 2023, the Treasury and…
Inherited IRAs - July 28, 2023
There have been a number of changes to the required minimum distribution (RMD) rules that apply to traditional IRA and 401(k) accounts. The age at which these distributions must begin for account owners has been…
New Hampshire Accelerates Date on Repeal of Interest and Dividends Tax - July 28, 2023
New Hampshire recently enacted legislation that phases out the Interest & Dividends Tax (I&D Tax) starting at 4% for taxable periods ending on or after December 31, 2023, 3% for taxable periods ending on or…
Scams are surging this summer according to the IRS - July 28, 2023
The Journal of Accountancy has reported the IRS is asking for taxpayers to be wary of offers promising tax refunds or to “fix” tax problems. Many of these offers center on promises of a third…
New Clean Vehicle Credit - June 5, 2023
The new clean vehicle credit in effect in 2023 has numerous requirements. In addition to meeting the manufacturing requirements (which the licensed dealer should be able to provide), there is an income limitation based on…
IRS Delays Implementation of $600 1099-K Reporting Requirement - December 27, 2022
The IRS has announced third-party settlement organizations will not be required to report tax year 2022 transactions on a Form 1099-K to the IRS or the payee for the lower, $600 threshold amount enacted as…
MA 1099-Gs will reflect return refund and 62F refund - December 14, 2022
In January, the 1099-Gs are scheduled to go out to taxpayers who claimed itemized deductions on their federal return for Tax Year 2021. Note that they will contain a combined amount reflecting a taxpayer’s return…
Payment Apps and Form 1099-K - December 6, 2022
Taxpayers who were paid for goods and services through a third-party payment network, such as PayPal, Venmo, eBay, etc. will now receive a reporting form “Form 1099-K Payment Card and Third-Party Network Transactions” once the…
Massachusetts begins distribution of excess tax revenue refunds. - November 4, 2022
On November 1, 2022, the Massachusetts Department of Revenue (DOR) began distributing $2.941 billion in tax refunds in accordance with Chapter 62F, a Massachusetts law that requires tax revenue collected in excess of an annual…
Massachusetts Excess Revenue Credit will be refunded to Taxpayers - October 17, 2022
Massachusetts will shortly be issuing refunds for the return of excess revenue collected for the fiscal year 2022. These refunds will be finalized by the end of October and begin to be received by taxpayers…
Clean Energy Incentives - September 10, 2022
The recently passed Inflation Reduction Act expanded on several tax incentives for taxpayers that choose energy efficient alternatives. Some of the key changes include: The Act increased the nonrefundable personal tax credit for having qualified…
IRS Issues Advise on Suspicious Communications - July 27, 2022
Each year the IRS issues its list of 12 common tax scams that are impacting taxpayers. One such scam is suspicious communications taxpayers receive through unsolicited text messages, emails, or phone calls. These scams are…
Required Minimum Distributions (RMDs) for 2021 - December 11, 2021
Reminder, 2021 required minimum distributions (RMDs) from retirement plans should be taken by December 31, 2021. RMDs were suspended for tax year 2020 but have been restored for tax years starting in 2021. (Note: Taxpayers…
Advance Child Tax Credit Payments in 2021 - July 21, 2021
Before 2021, taxpayers could receive up to a $2,000 nonrefundable credit per child, subject to income phaseouts, for the child tax credit. For tax year 2021, the American Rescue Plan Act (ARPA) increased the child…
New Massachusetts Legislation Allows Unemployment Income Deduction - April 6, 2021
New legislation signed into law by Governor Charlie Baker on April 1, 2021, allows taxpayers with household income of not more than 200% of the federal poverty level to deduct up to $10,200 of unemployment…
New Massachusetts Legislation Excludes Forgiven PPP Loan Amounts from Gross Income For Personal Income Taxpayers for Tax Year 2020 - April 6, 2021
On April 1, 2021, Governor Charlie Baker signed legislation which allows the exclusion of forgiven PPP loan amounts from gross income for 2020 for taxpayers subject to the Massachusetts personal income tax. This includes unincorporated businesses reporting income and expenses on Schedule…
IRS Extends 2020 Federal Individual Income Tax Filing and Payment Deadline to May 17, 2021 – Massachusetts Expected to Follow Suit - March 19, 2021
On March 17, 2021, the Treasury Department and Internal Revenue Service (IRS) extended the individual income tax filing and payment deadline from April 15, 2021 to May 17, 2021. Individual taxpayers may also defer federal…
The American Rescue Plan Act Provides Federal Tax Relief to 2020 Unemployment Recipients -Massachusetts DOR Cautions Taxable Amount of 2020 Unemployment Benefits May Differ From Federal Law. - March 18, 2021
On March 11, 2021, the American Rescue Plan Act was signed into law by President Biden. The Act includes a retroactive provision that makes the first $10,200 of 2020 unemployment benefits nontaxable for taxpayers having…
Massachusetts DOR Issues Tax Guidance on Reporting PPP Forgiven Loans and Other COVID-19 Relief - March 11, 2021
On its Tax Filing Season Frequently Asked Questions web page, the Massachusetts Department of Revenue (DOR) recently provided answers to some common questions regarding tax treatment and reporting of Paycheck Protection Program (PPP) forgiven loans…
Massachusetts Department of Revenue Issues Notice Regarding Form 1099G to Unemployment Recipients. - February 2, 2021
Taxpayers who received unemployment benefits or pandemic related unemployment benefits from the Commonwealth of Massachusetts during 2020 can expect to receive a Form 1099-G (Certain Government Payments) showing the amount of unemployed compensation received. Unemployment…