Scott, Scott & Co, CPA, P.C.

06/27/2024

Interesting article. It's good to have some insight on IRS focus for tax audits.

The agency is zeroing in on those who make more than $400,000 instead of just multimillionaires, a watchdog report said.

12/14/2023

One more compliance item to add to your list for next year.

FinCEN has prepared the following Frequently Asked Questions (FAQs) in response to inquiries received relating to the Beneficial Ownership Information Reporting Rule.

06/27/2023

Good read regarding itemized noncash charitable contributions and required appraisals.

Adhere strictly to the substantiation rules for charitable donations. A deduction worth thousands of tax dollars could be at stake.

08/25/2022

Great news if this applies to you and you've been assessed late filing penalties.

Taxpayers need not do anything to receive this administrative relief. The IRS is automatically removing (abating) failure-to-file penalties for 2019 and 2020 returns.

08/25/2022

It's a good start!

The Internal Revenue Service is planning to use the first big chunk of its $80 billion expanded budget to hire customer-service representatives to answer taxpayers’ phone calls during the 2023 tax-filing season.

08/03/2022

Proof that CPAs do have a sense of humor...sort of!

Members of the Pennsylvania Institute of Certified Public Accountants share their favorite accounting jokes to lighten the mood this tax season. We hope it g...

06/16/2022

The IRS announced that the optional standard mileage rate is increasing by 4 cents per mile for the last six months of 2022. Effective July 1, the standard mileage rate for business travel will be 62.5 cents per mile.

https://www.thetaxadviser.com/news/2022/jun/standard-mileage-rate-increase-last-half-2022.html

04/01/2022

April 18th -- 1040 Due Date is just around the corner! So, be sure to file and pay on time to avoid penalties and interest. Remember, filing an extension only extends the time to file, not to pay. Any 2021 taxes owed are still due by April 18th, 2022

File a Federal Extension to avoid potential hefty failure to file penalties (based on any unpaid tax amount). Missouri (and many states) recognize the Federal Extension unless you need to pay in an estimated amount with your extension. For Missouri mail your 2021 MO payment with the Missouri extension form. You may always pay taxes online too.

So, plan ahead if you think you'll owe taxes but aren't ready, just yet, to file your tax returns. File your extension(s) early...don't wait until the due date.

02/14/2022

Be sure to verify your Child Tax Credit advance payment amounts received!

The Internal Revenue Service pushes back against suggestions that errors in the letters, which report to taxpayers their advance child tax credit payments for 2021, are widespread.

01/28/2022

Reconciling Advance Child Tax Credit Payments

The American Rescue Plan expanded the amount of Child Tax Credit (CTC) allowed for 2021. A portion of the child tax credit was sent as an advanced monthly payment, unless the taxpayer(s) opted out. Taxpayers should look for letter 6419 from the IRS, which shows the total amount of ACTC payments issued in 2021. Advance CTC payments must be reconciled on the 2021 tax return. Excess advance payment amounts received will be required to be repaid in certain circumstances.

Please note, we have found instances already where the letter 6419 has incorrect numbers on it. Please go to IRS.gov and create an account to view and verify your ACTCS payments issued during 2021.