Taxes Made Easy

Did You Know?

•  We saw a number of our clients receive a CP14 letter (Balance Due) from the IRS last year. Unfortunately, many of these letters are sent out in error. The IRS has issued this notice:        

                    "Taxpayers who receive a notice but paid the tax they owed in full and on time, electronically or by check,

          should not respond to the notice at this time. The IRS is researching the matter and will provide an update

          as soon as possible. Taxpayers who paid only part of the tax reported due on their 2023 return should

          pay the remaining balance or follow instructions on the notice to enter into an installment agreement or

          request additional collection alternatives."

        The IRS will automatically make adjustments to any penalties and interest charged in error. Click here for the

        full text of the IRS notice. If you received one and have questions, do bring it in as soon as possible. If there

        is something you need to do, sooner is always better. As always, contact us with any questions or concerns. 

• The business mileage rate for 2025 went up to 0.70 for the entire year.
• The business mileage rate for 2024 went up to 0.67 for the entire year.
• Some of you may be familiar with the 1099-K from third party payment centers for large amounts paid to businesses. The latest tax law (for 2024) requires the third party payment center (Venmo, CashApp, eBay, etc.) to send a 1099-K if the total amount received within the year is over $5000. Some of this will not be taxable, but the IRS will receive a copy of these 1099-Ks, so you must report it. If you do receive one, bring it in! This includes any crowdfunding money you've received either for yourself or on behalf of someone else. Even so, if you receive a 1099-K, you still must report it.
• Cryptocurrency. Digital Assets. Bitcoin. The IRS calls them all “virtual currency.” If you sold, traded or received any virtual currency in 2023, we need to know. The IRS is cracking down on those not reporting these transactions, so bring in any and all information you have regarding virtual currency. Here's an article that explains a little bit about virtual currency: https://coinledger.io/blog/how-to-report-cryptocurrency-on-taxes.
  
• The Energy Credit was been expanded for 2023. The lifetime limitation is now gone; it's now an annual limitation. For details: https://www.energystar.gov/about/federal_tax_credits. There are additional details for 2024 and going forward regarding Electric and Hybrid new and used vehicles. Contact us for more details.
• RMDs are required! Keep in mind, the minimum age went up again, this time from 72 to 73 (if you were born between 1951-1959). If you forgot last year, let us know ASAP! We may be able to mitigate any penalties, but we need to do so sooner rather than later!
• The City of Columbus, OH created a new portal for online tax accounts, called CRISP, Columbus Revenue Information Service Portal. They mailed out notices to Columbus residents. It is legit, but you are NOT required to create an account. As always, you can call us with questions. Click here for the link to CRISP.
• For those who have not filed your 2021 returns, you have through April 2025 to claim any refunds. This includes any stimulus payments you're eligible for, but haven't received. The second stimulus payment of $600 went out from the end of Dec 2020 through around the end of Feb 2021. Most of you received the third stimulus payment of $1400 per person in March or April 2021. We still need to know if you've received them and how much.
• Some of you may have received a 1099-G for Unemployment, but never filed for unemployment. The state and the IRS are both investigating. This continues to be a nationwide ID Theft problem. Here's the link to the state page to file the complaint: https://jfs.ohio.gov/job-services-and-unemployment/unemployment/report-identity-theft-fraud. Do NOT include this in your income if you did not file or receive the money.