Brown Tax & Accounting LLC

03/27/2026

Some taxpayers can file after April 15, 2026 and get a full or partial refund

01/16/2026

If you pay vendors, contractors, or service providers in your business, this Form 1099-MISC reminder is something you’ll want to review carefully. Many business owners assume 1099s only apply to a narrow set of situations, but the reality is broader. Payments of $600 or more for certain services, rents, and medical or legal services are often reportable—even if the work felt “routine.”

One of the biggest mistakes we see is waiting until year-end to collect vendor information. You should be requesting a Form W-9 up front before issuing payments. If a vendor refuses to provide a taxpayer identification number, the IRS requires you to withhold 24% backup withholding, which can create headaches if you’re not prepared.

It’s also important not to rely solely on a business name to determine whether a 1099 is required. Just because a company has “LLC” in the name does not automatically mean they’re exempt. Some LLCs are taxed as sole proprietorships or partnerships and still require 1099 reporting, while most corporations are excluded—with a few key exceptions.

The graphic below highlights common reportable payments, such as non-employee compensation (advertising, repairs, professional services, consulting, construction, landscaping, accounting, legal work, and more). It also calls out categories many people miss, including medical and healthcare services, which are reportable even when paid to corporations.

Finally, remember the deadline: copies must be sent to recipients by January 31st. Staying compliant isn’t just about avoiding penalties—it’s about keeping your books clean and your tax filings stress-free. If you’re unsure whether you should be issuing 1099s or want help setting up a clean process going forward, it’s worth reviewing your vendor list before it becomes an IRS problem.

03/04/2024

Time is running out: IRS encourages eligible non-filers in 2020 to claim their Recovery Rebate Credit before May 17 deadline

WASHINGTON – The Internal Revenue Service today reminded those who may be entitled to the COVID-era Recovery Rebate Credit in 2020 that time is running out to file a tax return and claim their money.

Most taxpayers eligible for Economic Impact Payments linked to the Coronavirus tax relief have already received or claimed their payments via the Recovery Rebate Credit. But for those who haven’t yet filed a tax return for 2020, the legal deadline is May 17, 2024.

The Recovery Rebate Credit is a refundable credit for individuals who did not receive one or more Economic Impact Payments, also known as stimulus payments, distributed in 2020 and 2021. Eligible taxpayers must file a tax return first to claim a Recovery Rebate Credit, even if their income from a job, business or other source was minimal or non-existent.

For individuals wanting to claim the 2021 Recovery Rebate Credit, they have until April 15, 2025, to file the required tax return.

Taxpayers owed a refund have three years after the filing due date to file and claim any money entitled to them. For 2020 tax returns, this year’s May 17 due date is three years after the original May 17, 2021, tax deadline.

The IRS also reminds other people who haven’t filed a tax return for 2020 to check their records; it’s possible they may be overlooking a potential tax refund that will no longer be available after May 17. The IRS plans to provide more detailed state-by-state information later this month for taxpayers who may have overlooked filing and getting a refund for 2020. These taxpayers will also face a May 17 deadline to file.

Who’s eligible?
Eligibility for the 2020 and 2021 Recovery Rebate Credit generally requires being a U.S. citizen or U.S. resident alien in the respective year, not being a dependent of another taxpayer and having a Social Security number issued before the tax return's due date.

Additionally, the 2020 Recovery Rebate Credit can be claimed for someone who passed away in 2020 or later.

Free help is available
Qualified taxpayers can also access free tax preparation assistance through the Volunteer Income Tax Assistance and the Tax Counseling for the Elderly programs. This is an ongoing effort by the IRS to encourage individuals who are not typically required to file tax returns to explore the potential benefits under the tax law. Use the VITA Locator Tool or call 800-906-9887 to locate the nearest VITA site.

The IRS also reassures taxpayers there is no penalty for claiming a refund on a late-filed tax return. Direct deposit is recommended as the quickest and simplest way to receive a tax refund.

Individuals with an IRS Online Account can check to see if they received any Economic Impact Payments, along with the total amounts.

Any Recovery Rebate Credit received does not count as income when determining eligibility for federal benefits such as Supplemental Security Income (SSI), Supplemental Nutrition Assistance Program (SNAP), Temporary Assistance for Needy Families (TANF) and the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC). Claiming the credit does not affect an individual's immigration status or their ability to secure a green card or immigration benefits.

High-income non-filers: IRS compliance letters coming

The IRS also announced Feb. 29 a new effort focused on high-income taxpayers who have failed to file federal income tax returns in more than 125,000 instances since 2017.

The new initiative, made possible by Inflation Reduction Act funding, began with IRS compliance letters going out last week on more than 125,000 cases where tax returns haven’t been filed since 2017. The mailings include more than 25,000 to those with more than $1 million in income, and over 100,000 to people with incomes between $400,000 and $1 million between tax years 2017 and 2021.

01/20/2023

Another tax credit that has been reduced for 2022 is the child and dependent care tax credit.

In 2021, the child tax credit offered up to $3,600 per child under age 6, and up to $3,000 per child ages 6 through 17, with half available through upfront payments.

However, the tax break reverts back to the previous amount which is up to $2,000 per child under age 17.

01/19/2023

The standard deduction amounts were increased for 2022 to account for inflation.

Married couples get $25,900 (up from $25,100 for 2021), plus $1,400 for each spouse aged 65 or older.

Singles can claim a $12,950 standard deduction (up from $12,550 for 2021) — $14,700 if they're at least 65 years old (up from $14,250 for 2021).

Head-of-household filers get $19,400 for their standard deduction (up from $18,800 for 2021), plus an additional $1,750 once they reach age 65 ($1,700 for 2021).

Blind people can tack on an extra $1,400 to their standard deduction (up from $1,350 for 2021). That jumps to $1,750 if they're unmarried and not a surviving spouse (up from $1,700 for 2021).

01/18/2023

For the 2022 tax year:

The CTC (Child Tax Credit) is worth $2,000 per qualifying dependent child, if your modified adjusted gross income is: $400,000 or below (married filing jointly) or $200,000 or below (all other filers).

If your MAGI exceeds those limits, your credit amount will be reduced by $50 for each $1,000 of income exceeding the threshold until it is eliminated.

The CTC is also partially refundable; that is, it can reduce your tax bill on a dollar-for-dollar basis, and you might be able to apply for a tax refund of up to $1,500 for anything left over.
This partially refundable portion is called the “additional child tax credit” by the IRS.

01/17/2023

The IRS has set Monday, Jan. 23, as the beginning of the nation’s 2022 tax season.

One of the changes in the tax law to take effect for tax year 2022 is the charitable contribution deduction of $300/$600 is no longer in effect.

A taxpayer must itemize to take advantage of the charitable contribution deduction.

01/16/2023

Tax Filing Season starts January 23, 2023:

The IRS has set Monday, Jan. 23, as the beginning of the nation’s 2022 tax season, the agency will begin accepting and processing 2022 tax year returns.

There are several major changes in the tax laws, which may take taxpayers by surprise by allowing for smaller refunds or bigger bills for many taxpayers. We will be posting some of the changes over the next few days.

06/10/2022

ATTN: Self-employed business owners

For those of you who are self-employed and track mileage, the IRS announced yesterday that we will have a "split" year for mileage expenses. For January 1 to June 30th, the mileage rate will be 58.5 cents per mile, however for July 1 to December 31 the rate will be 62.5 cents per mile.

For those who track medical or moving miles, the rates for January 1 to June 30th, the mileage rate will be 18 cents per mile, however for July 1 to December 31 the rate will be 22 cents per mile.

This means that you'll need to track your mileage separately for each period as each half year will have different rates. Please take note of your mileage on July1st.

03/30/2022

I want to wish this sweet girl a Happy 21st Birthday! Our office is blessed to have the best staff❤️❤️

01/26/2022

As the 2022 filing season begins, the IRS encourages taxpayers to file electronically when they are ready and choose direct deposit to get their refund. Direct deposit is the safest and most convenient way to receive a tax refund.

Tax Tip 2022-14: Why taxpayers should have their tax refund direct deposited Internal Revenue Service (IRS) sent this bulletin at 01/26/2022 10:01 AM EST IRS Tax Tips January 26, 2022 Useful Links: IRS.gov Help For Hurricane Victims News Essentials What's Hot News Releases IRS - The Basics IRS Guida...