Rasul Professional Services Inc.

11/04/2024

401(k) limit increases to $23,500 for 2025, IRA limit remains $7,000

https://ow.ly/45uu50TYgk7

10/31/2024

10/25/2024

BOI deadline is looming

With tax season officially behind us and 2025 on the horizon, it's crucial to remember the BOI filing deadline is fast approaching. Don't let it sneak up--prepare now to stay ahead of curve.

The below is a brief summary of the requirements and deadlines:

What is Required?

The Corporate Transparency Act mandates that more than 30 million companies operating in the U.S. disclose details about the individuals who ultimately own or control them. This will help FINCEN in determining beneficial owners and control persons of these entities.

Important Deadlines to Remember:

1. For Companies Existing Before 2024: If your company was created or registered to do business in the United States before January 1, 2024, you must file your report by January 1, 2025,

2. For Companies Established in 2024: Companies created or registered in the United States in 2024 are required to file within 90 calendar days after they receive actual or public notice that their company's creation or registration is effective

3. For Companies Established in 2025: Companies created or registered in the United States in 2205 are required to file within 30 calendar days after they receive actual or public notice that their company's creation or registration is effective

FINCEN may impose civil penalties of $591 a day for late filing and criminal penalties of up to two years in prison and a fine of up to $10,000 for wilfully failing to file a report, submitting false information, or failing to update previously reported information.

10/23/2024

BREAKING: The IRS releases tax inflation adjustments for 2025.

New Standard Deduction

Single: $15,000 (up $400)
Married Filing Separately: $15,000 (up $400) Married Filing Jointly: $30,000 (up $800)
Head of Household: $22,500 (up $600)

Notable items that received inflation adjustments

Marginal Tax Rates
AMT Exemption Amount
Earned Income Tax Credit
Estate Tax Credit
Adoption Credit

Notable items that DID NOT receive inflation adjustments:

Itemized Deductions
Lifetime Learning Credit

10/16/2024

Have you heard about the new filing requirements issued by the US Department of Treasury? Well a little while ago a new law passed that requires most business owners to file a new report with the Department of Treasury. Failure to file this report will subject you to penalties of $591 PER DAY they are late, up to a maximum fine of $10,000! Yes, they are very serious about these reports. The reports are due on or before 12/31/24 if your business was created prior to 1/1/24. If your business was created on 1/1/24 or later, then your BOI report is due 90 days after your business was established.

Just in case, I have attached here a pdf document with information on 1. Who needs to file 2.

If you are interested in having our firm file these reports for you, just let me know. If you have any questions, please do not hesitate to reach out!

Sincerely,
Adnan Rasul, EA
516-800-5000
www.rasulcllc.com

I do provide tax & business tip

10/15/2024

HAPPY TAX DEADLINE DAY!!!

10/11/2024

FinCEN Provides FBAR Relief to Victims of Hurricane Milton

The Financial Crimes Enforcement Network (FinCEN) today issued a notice extending the filing date of Reports of Foreign Bank and Financial Account (FBARs) for victims of Hurricane Milton. Victims of Hurricane Milton will have until May 1, 2025, to file FBARs for the 2023 calendar year. As set out in the notice, FinCEN is offering this expanded relief to any area that is designated both by the Federal Emergency Management Agency as qualifying for individual or public assistance and by the Internal Revenue Service as eligible for tax filing relief, as a result of Hurricane Milton.

10/10/2024

10/07/2024

EASEMENT TAX SHELTERS - Just released

Hopefully, the end of abusive easements,

Treasury and IRS issue final regulations identifying syndicated conservation easement transactions as abusive tax transactions

WASHINGTON - The Department of the Treasury and the Internal Revenue Service today issued final regulations identifying certain syndicated conservation easement transactions as "listed transactions" -abusive tax transactions that must be reported to the IRS.

Syndicated conservation easements have been included in the IRS' annual list of "Dirty Dozen" tax schemes for many years.

"These regulations send a clear signal on abusive syndicated conservation easement arrangements, which generate high fees for promoters and willing participants who gamed the tax system with grossly inflated appraisals," said IRS Commissioner Danny Werfel. "As the Senate Finance Committee has shown in its review, abusive syndicated conservation easement transactions are operating too often as nothing more than retail tax shelters that let taxpayers buy deductions at the end of any given year." In these transactions, investors typically acquire an interest in a partnership that owns land and then claims an inflated charitable contribution deduction based on a grossly overvalued appraisal. Going forward, participants and material advisors will need to report their participation in these transactions using Forms 8886 and 8918.

The IRS previously identified certain SCE transactions as listed transactions in Notice 2017-10. These final regulations, consistent with Notice 2017-10, identify certain SCE transactions as listed transactions. The issuance of these final regulations clarifies that participants and material advisors must report these transactions, including any transactions that were
completed in taxable years that are still open.

This listed transaction regulation is part of a multifaceted IRS approach that is succeeding in
protecting the integrity of the tax system. On a related front, the IRS has enjoyed significant success in the courts, resulting in a number of syndicated partnerships having their grossly inflated easement valuations reduced for tax purposes to what the actual market value was at the time of the donation, with the partners claiming the inflated deduction often incurring
substantial penalties.

The commitment to making sure that partnerships, other pass-through entities, and their owners comply with the tax law is a significant part of the agency's strategic plan.

10/07/2024

Important Reminder for C-Corp

As we approach the October 1 5th deadline, it's important to remember when dissolving a C-Corporation, don't forget about Form 966. Unlike flow through entities, where marking the tax return as "final" suffices, C-Corps require an additional step.

Form 966 is straightforward yet essential--it officially notifies the 1RS that your entity is being dissolved and liquidated. This form must be filed within 30 days after adopting the resolution or plan to dissolve the corporation, ensuring the process adheres to IRS regulations. Neglecting this step can lead to complications and potentially trigger notices from the IRS, which are best avoided.

Ensure your dissolution process is complete and compliant.

Rasul Consulting, LLC
Rasul Professional Services Inc.