Northern California Tax Consultants

01/16/2026

Hello amazing clients - if you had a baby after 12/31/24 they are entitled to $ 1,000 into a new savings vehicle called A Trump Account. Read for more information. Be sure to mention this when you have your taxes completed if you qualify.
The One Big Beautiful Bill Act (OBBBA) introduces a new retirement savings vehicle that tax practitioners should add to their 2025 filing season checklist - the Trump account. Here's what you need to advise clients about this new savings opportunity.
What Are Trump Accounts? (IR-2025-117)
Trump accounts are a new type of individual retirement account established for the exclusive benefit of eligible children. Parents, legal guardians, and other authorized individuals can open these accounts on behalf of qualifying children and potentially secure a $1,000 pilot program contribution from the government.
Eligibility Requirements for Trump Accounts
Trump accounts are available for any child who meets the following criteria:
Age requirement: Child has not turned age 18 before the end of the calendar year in which the account is established
Social Security number: Child must have a valid Social Security number
Important: Children born before January 1, 2025, who are under age 18 are fully eligible for Trump accounts with all features except the $1,000 government pilot program contribution.
The $1,000 Pilot Program Contribution
Separate from general Trump account eligibility, the federal government will make a one-time $1,000 contribution for children meeting these additional criteria:
Birth date window: Born between January 1, 2025, and December 31, 2028
U.S. citizenship: Child must be a U.S. citizen
Valid Social Security number: Required for government contribution
This election for the pilot program contribution is made separately on Form 4547. This election is separate from establishing the account itself, though both can be made simultaneously on Form 4547.
Filing Mechanics for Tax Season
Form 4547 is the vehicle for making both elections:
Establishing the Trump account
Claiming the $1,000 pilot program contribution

08/08/2025

In IRS news - 6th head of IRS in a year

https://www.facebook.com/1071287121/posts/10233115281078766/?mibextid=wwXIfrad of

President Donald Trumpremoved former congressman Billy Long as Internal Revenue Service commissioner after less than two months on the job, throwing the leadership of the tax agency once again into turmoil.

07/08/2025

The good of the Big Beautiful Tax Bill (please keep in mind these are tax provisions only that I am covering, these are personal portions of the bill only not business provisions) More to come . . .
Taxpayers over 65 will receive 6,000 additional deduction off of their income for the next 3 years. (2025, 2026 and 2027) - per taxpayer over 65.
SALT (State and property tax deduction on Schedule A) $ 40,000 starting 2025, NOT PERMANENT, 1% increase 2025, 2027, 2028 and 2029 then back to $ 10,000 max 2030.
Child tax credit for 2025, 2026, 2027 and 2,028 will be $ 2,200 per child instead of $ 2,000. Back to $ 2,000 in 2029.
For those who do not itemize $ 1,000 per taxpayer/spouse in monetary charitable donations can be deducted on the return. This starts on 2026 taxes.
Dependent Care through employer max would go from $ 5,000 per year to $ 7,000 per year.
New Trump type savings account for children under 8. Parents will be able to put $ 5,000 per year. $ 1,000 from the government will be available for children born 2025 through 2028 if one of these accounts is opened. More info to follow.
Up to $ 25,000 of tip income may be excluded from 2025, 2026, 2027 and 2028 tax returns.
Up to $ 25,000 of overtime may be excluded from 2025, 2026, 2027 and 2028 ($12,500 per spouse on joint return, $ 12,500 total on single person's return) This is the extra pay over your regular rate. Example you earn $ 20 per hour, so overtime is paid @ $ 30 per hour. That $ 10 per hour over the base would be part of this possible deduction.
Car loan interest up to $ 10,000 could be deductible on 2025, 2026, 2027, 2028 taxes - car must be purchase 1/1/25 or after, car must be assembled in the US and your car must secure the loan.
Estates under $ 15,000,000 in 2026 are NOT TAXABLE. (Almost $ 14,000,000 in 2025)
The not as good -
Gambling losses were deductible up to the amount of winnings. So say you won $ 10,000 and had $ 10,000 in losses you could claim them all. Now 90% only. So $ 10,000 in winnings - limit of $ 9,000 in losses.
EVERY SINGLE ITEM LISTED IS ON A TAXPAYER BY TAXPAYER BASIS - SOME HAVE INCOME LIMITS AND OTHER REQUIREMENTS/RULES - ASK YOUR TAX PERSON IF YOU HAVE QUESTIONS.

03/06/2025

Official website of the U.S. Social Security Administration.

10/16/2024

So got this post in my in box but me believes this is not from Meta and a big scam - what say you?

09/15/2024

More info on that unrealized gain tax everyone was so worried about - again it doesn’t effect you unless you have 100 million in assets or more and some said well if it’s 100 million now it could someday apply to us. This article explains it in depth and also states why it most likely would never even pass.

Even if Congress goes for it, and SCOTUS allows it, hey, you're not worth $100 million.

08/26/2024

So . . . I have spent the past 1/2 hour posting truth on pages that are up in arms about Kamala Harris’ plan to tax unrealized capital gains - let me share what the proposal actually says -

First is says you have to have 100 million dollars in assets before this would apply to you (I feel I should just stop here as I know alot of people and NONE of them have 100 million dollars in assets)

Second this doesn’t apply to real estate that goes up in value in the proposed plan

Third this doesn’t apply to 401k and retirement plans.

https://finance.yahoo.com/news/kamala-harris-supports-tax-unrealized-193900073.html

And here is Fox News report on this telling how awful this is but they even acknowledge it’s for those with over 100 million in assets

https://www.foxnews.com/politics/beyond-insane-economists-slam-biden-harris-proposal-tax-unrealized-investment-returns.amp

And I wanted the answer- how many US residents have over 100 million in assets and the answer according to https://www.fool.com/the-ascent/personal-finance/articles/us-millionaires-and-billionaires-you-might-not-believe-the-wealth/ #:~:text=Here's%20how%20many%20people%20the,of%20at%20least%20%241%20billion is 9,630 out of 345 million people or .003% of the population.

The Kamala Harris campaign has made one of its first concrete policy proposals this week with a tax plan. The centerpiece of the plan is a series of high-end tax increases on corporations and wealthy households worth approximately $5 trillion over 10 years. Specifically, Harris has proposed enacting...

08/23/2024

For all LLC S Corp and C Corps here's 57 pages of reading about the new BOI reporting requirements

08/21/2024

Dear business (LLC, C and S corporations),

I hope that I talked to you about or you have heard about the new reporting requirements for your business to register with the federal government. This report is due before the end of the year for all businesses that originally registered with the Secretary of State to open their company. The penalties for not filing this report this year and future years are VERY LARGE. So I am giving you an offer to have a firm that is approved to file this for you at a very reasonable fee. Their information is below: (please reach out to me with questions about this program and I will provide more data.)

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