L E Williams & Company PC

02/13/2026

Tax Planning Tip: Leverage the Saver’s Credit for Retirement Contributions

Lower- and moderate-income taxpayers may qualify for the Retirement Savings Contributions Credit (Saver’s Credit) when contributing to an IRA or employer-sponsored retirement plan such as a 401(k), 403(b), 457 plan, or SIMPLE IRA.

The credit can be worth 10%, 20%, or 50% of eligible contributions (up to contribution limits), depending on your adjusted gross income (AGI) and filing status. Unlike a deduction, a credit directly reduces your tax liability dollar for dollar.

Strategic planning ideas:
• Increase retirement contributions before year-end to maximize the credit
• Coordinate traditional vs. Roth IRA contributions based on income level
• Ensure you meet eligibility requirements (age 18+, not a full-time student, not claimed as a dependent)
• Combine tax deferral benefits with the added value of a direct tax credit

This is a powerful but often overlooked incentive to build retirement savings while lowering your tax bill.

References:
IRS Form 8880 (Credit for Qualified Retirement Savings Contributions)
IRS Publication 590-A (Contributions to Individual Retirement Arrangements)
IRC §25B

Reflection Questions:
• Does your current AGI qualify you for the Saver’s Credit?
• Would increasing your retirement contributions reduce both taxes and boost long-term savings?
• Are you coordinating IRA and employer plan contributions efficiently?

Hashtags:

02/07/2026

🏡 2025 ENERGY TAX CREDITS: WHAT HOMEOWNERS NEED TO KNOW ⚡

If you’re planning home improvements in 2025, the federal energy tax credits are still one of the most valuable incentives available — but the rules and documentation requirements matter more than ever.

🔍 What’s New / What Matters in 2025

✔️ Annual limits reset every year (not lifetime, for most improvements)
✔️ Manufacturer certification statements are critical — keep them
✔️ ENERGY STAR & IRS efficiency standards must be met (not optional)
✔️ Electric panel upgrades only qualify if they support qualifying equipment
✔️ Battery storage qualifies even without solar (still 30%)

💰 Two Main Credits to Know

1️⃣ Residential Clean Energy Credit (30%)
Solar, geothermal, wind, battery storage
• No dollar cap
• Can carry forward unused credit

2️⃣ Energy Efficient Home Improvement Credit (up to $3,200/year)
Heat pumps, insulation, windows, doors, panel upgrades, energy audits
• Credits reset every year
• No carryforward — use it or lose it

📄 What You MUST Keep (Not File, But Retain)

🧾 Itemized receipts
🏭 Manufacturer certification statements
📅 Proof the system was placed in service
📋 ENERGY STAR documentation where required

📌 Reflection (From a Tax Planning Perspective)

These credits reward planning, not impulse upgrades. Spreading projects across tax years, confirming eligibility before installation, and keeping proper documentation can be the difference between a full credit and zero benefit.

The IRS is very clear: no documentation = no credit, even if the upgrade is energy-efficient.

📚 IRS References

• Internal Revenue Code §25C & §25D
• IRS Form 5695 – Residential Energy Credits
• Inflation Reduction Act (IRA)

If you’re unsure whether a project qualifies before you start, that’s the right time to ask — not April.

02/06/2026

Important IRS update for 2026 Tax Refunds 📢

Heads-up, tax filers! The IRS is modernizing how it delivers tax refunds this year — and direct deposit is now the clear priority.
Starting with the 2026 tax filing season (for 2025 returns), the IRS is phasing out paper refund checks and moving to electronic refunds by direct deposit as the default method. This change stems from federal guidance tied to an Executive Order aimed at making payments faster, more secure, and less prone to fraud or loss. 

👉 What this means for you:
• If you don’t include valid direct-deposit info when you file your return, the IRS will temporarily hold your refund until you provide an account or request a paper check option. 
• If your bank rejects the direct deposit, the IRS will send a CP53E notice asking you to update your info — and you’ll need to act promptly to avoid delays. 
• Paper checks aren’t completely gone yet, but they’re being phased out quickly and may take much longer to arrive if you choose them. 

💡 Pro tip: Double-check your routing & account numbers before filing and consider setting up an IRS online account so you can respond quickly if the IRS reaches out. 

Reflecting on this shift, it’s clear the IRS wants to speed up refund delivery and reduce risk. But this transition also places the onus on taxpayers to be prepared — especially if you’re used to paper checks or don’t yet have electronic banking.

Let’s get ahead of delays this tax season! 💪

10/17/2025

📣 Marketplace Health Insurance Subsidies Are About to Expire — Here’s What That Means

Millions of Americans could soon face dramatic increases in health insurance costs if Congress doesn’t act to extend the enhanced premium tax credits under the Affordable Care Act.

These expanded subsidies — first introduced in the American Rescue Plan (2021) and extended by the Inflation Reduction Act (2022) — made Marketplace coverage more affordable for low- and middle-income families.

But they’re set to expire at the end of 2025 unless renewed. Without them, many families could see premiums more than double, and as many as 4–7 million people could lose coverage. Hospitals, clinics, and state health systems warn of uncompensated care spikes and job losses across the healthcare sector.

⏰ Timing matters: State regulators and insurers say it may already be too late to avoid disruptions for 2026 enrollment if Congress delays action. Stability, affordability, and coverage gains are all at stake.

⸻

📊 Key References
• Politico: It’s “too late” to extend ACA subsidies without major disruptions, some states and lawmakers say
• KFF: Marketplace premium payments would more than double on average if enhanced tax credits expire
• Commonwealth Fund: Explainer: Enhanced Premium Tax Credits for ACA Health Plans
• RWJF: How expiration of ACA tax credits will affect healthcare spending
• Reuters: Most Americans back extending ACA tax credits, KFF poll shows

⸻

💬 Bottom Line

Extending the enhanced premium tax credits isn’t just about health policy — it’s about economic stability, health equity, and protecting millions of families from losing affordable coverage.

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🔖 Hashtags

10/17/2025

https://www.journalofaccountancy.com/news/2025/oct/annual-inflation-adjustments-announced-for-tax-year-2026/?fbclid=IwZnRzaANfT8RleHRuA2FlbQIxMQABHq85PsALqNoqxRjMNLbb1tYxmBDBcggBkrBxW5V74BY-Vk42pc6rb_ZGjWcU_aem_I72hiDX_MrWDMZ1qcuan9w

The IRS published annual inflation adjustments for more than 60 tax provisions for tax year 2026, in addition to changes to the standard deduction for tax year 2025.

10/12/2025

🌍 The Journey of Accounting: From Local Rules to Global Language

Once upon a time, every country had its own accounting “language.” In the United States, that language was called GAAP — Generally Accepted Accounting Principles. Meanwhile, much of the rest of the world began speaking a new, more universal dialect: IFRS, or International Financial Reporting Standards.

But as global trade grew, investors, companies, and even small businesses started asking:

“Why do we need translators for numbers?”

And so began the story of convergence — the movement to bring U.S. GAAP and IFRS closer together.

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🧭 Who Writes the Rules?
• In the United States:
The Financial Accounting Standards Board (FASB) sets the rules. It operates under the oversight of the Securities and Exchange Commission (SEC), which ensures public companies follow transparent reporting.
• Internationally:
The International Accounting Standards Board (IASB), based in London, develops and maintains IFRS, which more than 140 countries now use.
• Together:
Since the early 2000s, FASB and IASB have been working under the “Norwalk Agreement” — a commitment to make their standards more compatible and eventually fully converged.

⸻

🔍 What Are “Accounting Standards,” Anyway?

Think of accounting standards as the grammar rules of financial language. They decide:
• How income and expenses are recognized
• How assets and liabilities are valued
• How companies tell their financial story

Without shared standards, comparing a company in New York to one in London would be like comparing apples to oranges — or yen to dollars without conversion.

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⚙️ The Migration: Where We Are Now

The U.S. hasn’t fully adopted IFRS, but it has:
• Aligned key areas like revenue recognition (ASC 606 / IFRS 15) and leasing (ASC 842 / IFRS 16)
• Encouraged multinational companies to report in both GAAP and IFRS when operating globally
• Maintained U.S. GAAP for domestic use, emphasizing its rule-based precision

The convergence effort is less about merging and more about harmonizing philosophies — balancing U.S. GAAP’s detailed guidance with IFRS’s principles-based flexibility.

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📚 Educational Perspective: Why It Matters

For students, accountants, and business owners, this shift means:
• Learning both frameworks is increasingly valuable
• Understanding the “why” behind the numbers is as important as memorizing the rules
• The profession is moving toward global mobility, where accountants can speak a shared financial language

Universities and CPA programs now integrate IFRS concepts alongside GAAP, preparing future professionals for an interconnected financial world.

⸻

📖 References
1. FASB and IASB “Norwalk Agreement” (2002)
2. Financial Accounting Standards Board (www.fasb.org)
3. International Accounting Standards Board (www.ifrs.org)
4. SEC Roadmap for IFRS Adoption (SEC.gov, 2008 update and ongoing discussions)
5. Journal of Accountancy, “The Convergence Project: Where We Stand” (AICPA)

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💬 Hashtags for Sharing

10/08/2025

🔒 Protected by a PIN: How I Stopped Tax Identity Theft

A few years ago, I got a letter no one wants to see:
“We have received more than one tax return using your Social Security Number.”

Someone had stolen my identity and tried to file a fake tax return in my name.
It was stressful, confusing, and scary.

Then I discovered the IRS Identity Protection PIN (IP PIN) — a free, six-digit number that locks your tax account and keeps identity thieves out. Even if someone has your SSN, they can’t file a return without your PIN.

Now, every year I get a new IP PIN from the IRS, and my tax identity is protected.

✅ You can get one too: irs.gov/getanippin

I’ve got my PIN — do you have yours? 🔐

Get an identity protection PIN (IP PIN) to protect your tax account.

10/02/2025

🚨 **Big Tax Law Change: What It Means for You** 🚨

The new *One Big Beautiful Bill Act* has been signed into law — here’s what everyday taxpayers should know:

💵 **Lower Taxes Locked In** – The 2017 tax cuts are now permanent, keeping lower tax brackets in place.
📈 **Bigger Standard Deduction** – $15,750 for singles and $31,500 for married couples, starting in 2025.
🏡 **Property Taxes (SALT Cap)** – You can deduct up to **$40,000** in state & local taxes (instead of $10K), but this goes back down in 2030.
👶 **Child Tax Credit** – Increased to **$2,200 per child**, plus a $500 credit for other dependents.
👵 **Seniors** – New $6,000 deduction for those 65+ (2025–2028).
🍽️ **No Tax on Tips** – Deduction of up to **$25,000** for service workers’ tips (2025–2028).
⏱️ **No Tax on Overtime** – Deduction up to **$12,500 ($25K joint)** for extra hours worked (2025–2028).
🏠 **Mortgage Deduction** – Interest limited to the first $750K of home debt, made permanent.
🚗 **Car Loans** – Interest on U.S.-made personal car loans deductible (up to $10K/year, 2025–2028).
💳 **Child & Dependent Care** – Credit increased to cover **50% of expenses**, up from 35%.

⚠️ **What’s ending?** Many green energy credits, including EV and solar credits, will phase out by 2027.

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👉 Bottom line: Families, seniors, and service workers stand to benefit the most in the next few years, but deductions for green energy will shrink. Plan ahead!

09/25/2025

📢 Big Change from the IRS!

Starting September 30, 2025, the IRS will phase out paper tax refund checks for individual taxpayers. 💳💻
Refunds will be delivered electronically — faster, safer, and more secure!

✅ Direct deposit = money in your account in less than 21 days (if no issues with your return).
✅ No more lost or stolen paper checks.
✅ Alternatives like prepaid debit cards or digital wallets will be available for those without bank accounts.

👉 Full details here: IRS Newsroom

https://www.irs.gov/newsroom/irs-to-phase-out-paper-tax-refund-checks-starting-with-individual-taxpayers

📖 References:
• IRS News Release, Sept. 2025: “IRS to phase out paper tax refund checks starting with individual taxpayers”

03/30/2023

If you support a parent or a child that doesn’t qualify you for the Child Tax Credit, you may qualify for the Credit for Other Dependents.

Learn more and see if you’re eligible to claim this credit: http://ow.ly/T1aq50MVNp0

01/20/2023

Although we love them like our children, pets do not qualify as dependents no matter how you dress them up. To learn more about who qualifies as a dependent, check out: www.irs.gov/pub929