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COVID-19 Relief Package

2021 – 03/01 A $1.9 trillion COVID-19 relief package was passed by the House on Feb. 27 and is now with the Senate. It includes direct payments of $1,400 to eligible individuals and each qualified dependent. Payments start to phase out at $75,000 in income for individuals and go to zero for individuals making $100,000….

Work Opportunity Tax Credit extended through 2025

2021 – 03/01 Are you a business owner thinking about hiring? Be aware that a recent law extended a credit for hiring individuals from one or more targeted groups. Employers can qualify for a tax credit known as the Work Opportunity Tax Credit (WOTC) that’s worth as much as $2,400 for each eligible employee ($4,800,…

Employee or Independent Contractor

2021 – 02/26 Is your new worker an employee or an independent contractor for federal income and employment tax purposes? Correct classification can be tricky, but the potential penalties for misclassification are high. If a worker is an employee, you must withhold federal income and payroll taxes, pay the employer’s share of FICA taxes on…

FAQ: Texas Tax Deadline

2021 – 02/24 Bland Garvey knows that you have questions. We have compiled a list of frequently asked questions (FAQ) to guide you. Who Qualifies? Victims of the month’s winter storms in Texas. The IRS is providing relief to the entire state of Texas. But taxpayers in other states impacted by these winter storms may receive…

Qualified Dependent Care

2021 – 02/24 Flexible Spending Accounts (FSAs) for dependent care are a tax-favored way to pay certain expenses, but rules apply. Employees may redeem these FSA funds only as reimbursements for qualified dependent care. The costs must be incurred within time limits, and unused funds must be forfeited. In light of COVID-19, some FSA rules…

Should your business add Roth contributions to its 401(k)?

2021 – 02/24 If your business sponsors a 401(k) plan, you might someday consider adding designated Roth contributions. Here are some factors to explore when deciding whether such a feature would make sense for your company and its employees. Key differences Roth contributions differ from other elective deferrals in two key tax respects. First, they’re…

Building customers’ trust in your website

2021 – 02/17 The events of the past year have taught business owners many important lessons. One of them is that, when a crisis hits, customers turn on their computers and look to their phones. According to one analysis of U.S. Department of Commerce data, consumers spent $347.26 billion online with U.S. retailers in the…

Child Tax Credit: Dependents that Qualify

2021 – 02/12 Do you have a child age 17 or older or other dependent? You can’t claim the Child Tax Credit for these individuals but you may qualify for the Credit for Other Dependents. The maximum credit is $500 for each dependent who meets certain conditions. For example, the person can be: 1) a…

Tax Breaks for New Ford and Porsche Models

2021 – 02/12 New Ford and Porsche models join the ranks of plug-in vehicles available for a lucrative tax break. Buyers of certain electric passenger vehicles and light trucks can claim a credit for up to $7,500. The models added by the IRS to the list of qualifying vehicles are the 2021 Ford Escape Plug-in…

Rebate Recovery Credit

2021 – 02/10 More than 109,000 IRS notices were sent in error in January 2021, according to the National Tax Advocate (NTA). The notices (CP21C Letters) advised recipients who hadn’t received the first Economic Impact Payments (EIPs) that their payments had been applied to offset tax they owed from a prior year. The notices “are…

IRS Begins Accepting Tax Returns

2021 – 02/10 The IRS begins accepting tax returns on Feb. 12. Ideally, you’ve been gathering tax records all year and have already made an appointment with us. Bring all W-2s, 1099s and documents about state tax refunds and other payments. You also may have received a Form 1095-A, B or C (Health Insurance statement)…

The many uses of a SWOT analysis

2021 -02/10 Using a strengths, weaknesses, opportunities and threats (SWOT) analysis to frame an important business decision is a long-standing recommended practice. But don’t overlook other, broader uses that could serve your company well. Performance factors A SWOT analysis starts by spotlighting internal strengths and weaknesses that affect business performance. Strengths are competitive advantages or…

Family Leave Tax Credit

2021 – 02/09 Are you self-employed and a survivor of COVID-19? If so, you may be able to claim a sick and family leave tax credit under the Families First Coronavirus Response Act. The law allows certain self-employed individuals, who due to COVID-19 were unable to work or telework for reasons related to their health,…

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