Death of the Stretch IRA? – Part 2 We wrote about the death of the Stretch IRA as of January 1st, 2020 in our first blog (Read Part 1 Here). A change in law usually means a change in plans. Here’s more details as to how this change in the law may bring about other... [Read More]
Category: IRS
The End of the Stretch IRA?
Background The IRS has always taken the position that your Retirement Accounts – IRA, 401(K), 403(B), etc. are to be used to assist you with your retirement expenses and used during your lifetime. Therefore those accounts are to have the money pulled out of them and the Deferred Income Taxes paid during your lifetime. The... [Read More]
In Plain English: The New Tax Bill Highlights
The New Tax Bill Congress has passed, and the President has signed, a major new Tax Bill revising many Tax Laws. It modifies much beginning January 1, 2018. There are a number of changes in the Tax Laws that you will want to pay attention to. Tax Brackets Have Changed. The rate that you are... [Read More]
President Wants to Raise Taxes
President Obama is seeking to raise Capital Gains Taxes again. Capital Gains Taxes were raised during his first term in office. The President says that the Capital Gains Tax only affects the “wealthy”. Capital Gains Taxes affects anyone who might ever own their own home, whether it is a house, condominium, or land. Further, it... [Read More]
Accountants figuring out Obamacare
Accountants tell me they are still scratching their heads and still trying to figure out the taxes that are inside the Obamacare legislation. The reason the Obamacare law was upheld by the US Supreme Court was that it was as Chef Justice Roberts said, a “Tax Bill”. Congress has the authority to raise taxes. Unfortunately... [Read More]
The Hand of Tax
A good way to help explain an overview of taxes is to look at the five fingers of your hand. There is an “Income Tax” when you earn the money. There is a “Sales Tax” when you purchase an item. There is a “Property Tax” when you purchase some things and hold it. There is... [Read More]
The Tax Man Cometh
Again this President seeks to penalize those who have been successful financially. The new proposal from the White House seeks to limit annual gifting to $50,000.00 dollars total per year. Instead of limiting it per individual they’re seeking to limit it to a total of $50,000.00 dollars in the year beginning in 2015. That may... [Read More]
Portability Remains in Estate Planning
“Portability” is a concept that the IRS allows wherein by filing an Estate Tax Return or IRS Form 706, one may preserve the unused Federal Estate Tax Credit of the first spouse who passes on. The Estate Tax is due when the second Spouse passes on. Each spouse has a Unified Credit amount allowed by... [Read More]