Legacy Tax & Resolution Services

Get Those Kids a Job, and Take Advantage of Tax Breaks

Article Highlights Higher Standard Deduction  IRA Options  Self-Employed Parent  Employing Your Child  Tax Benefits  Children who are dependents of their parents are subject to what is commonly referred to as the kiddie tax. This generally applies to children under the age of 19 and full-time students over the age of 18 and under the age […]

Taxes on Dividends

On December 22, 2017, The Tax Cuts and Jobs Act was signed into law. The information in this article predates the tax reform legislation and may not apply to tax returns starting in the 2018 tax year. You may wish to speak to your tax advisor about the latest tax law. This publication is provided […]

Minimizing Tax on Social Security Benefits

Article Highlights: Income as a Factor  Filing Status as a Factor  85% Maximum Taxable  Base Amounts  Deferring Income  Maximizing IRA Distributions  Whether your Social Security benefits are taxable (and, if so, the amount that is taxed) depends on a number of issues. The following facts will help you understand the taxability of your Social Security […]

Receiving Tips Can Be Taxing

Article Highlights: Collecting Tips  Tip Splitting  Service Charges  Record Keeping  Employer Reporting  Allocated Tips  Anyone who collects tips must include those tips in their taxable income. This requirement is not limited to waiters and waitresses; it applies to anyone who collects tips, including taxicab, Uber, Lyft, and similar drivers; beauticians; porters; concierges; and delivery people. […]

Lower Rates for Long-Term Capital Gains

On December 22, 2017, The Tax Cuts and Jobs Act was signed into law. The information in this article predates the tax reform legislation and may not apply to tax returns starting in the 2018 tax year. You may wish to speak to your tax advisor about the latest tax law. This publication is provided […]

The IRS Is Cracking Down on Cryptocurrency Tax Transactions

Article Highlights: IRS Enforcement Campaign  Virtual Currency  Valuation  Transactions  Character of the Gain or Loss  Foreign Currency Transactions  Foreign Bank and Financial Account (FBAR) Reporting  Payment for Goods and Services  Acquiring Virtual Currency  Virtual Currency Mining  Employee Payments  Independent Contractor Payments 1031 Exchanges  The IRS announced in late July 2019 that it is ramping up […]

Is Long-Term Worth the Wait and Risk?

On December 22, 2017, The Tax Cuts and Jobs Act was signed into law. The information in this article predates the tax reform legislation and may not apply to tax returns starting in the 2018 tax year. You may wish to speak to your tax advisor about the latest tax law. This publication is provided […]

Foreign Account Reporting Requirements (FBAR)

Article Summary: Foreign Account Reporting Requirement  Financial Crimes Enforcement Network  Penalties for Failure to File  Type of Accounts Affected  Form 8938 Filing Requirements  U.S. citizens and residents with a financial interest in or signature or other authority over any foreign financial account need to report that relationship by filing FinCEN Form 114 if the aggregate […]

Tax Ramifications of Disposing of a Vehicle

Article Highlights: Trading in a Vehicle  Selling a Vehicle  Gifting a Vehicle  Donating a Vehicle to Charity  If you are buying a new car, are you wondering what to do with the old one? You actually have a number of options, some of which have tax implications and some of which don’t. These options include […]

The IRS Has Cryptocurrency on Its Radar

Article Highlights:IRS Focus About Cryptocurrency Tax Treatment IRS Compliance Program Letters Being Sent If you own cryptocurrency, you need to know that the IRS has owners of cryptocurrency in its sights because many cryptocurrency owners are not reporting or paying taxes on their cryptocurrency transactions. In fact, the IRS is so focused on this issue […]