Watch Out For These Unexpected Tax Surprises!
Many people hire a CPA to help them navigate their finances as they go through life as both personal and professional changes in income status can greatly affect the taxes they are responsible for paying each year. Unfortunately, even the best laid plans can be affected as the government continually changes the guidelines to follow when it comes time to file your taxes. JTS Associates CPAs are experienced tax professionals who are adept at keeping abreast of the many tax code changes and regularly work with their clients to ensure they have a sound financial plan in place, especially when the current financial climate is so unpredictable!
Watch out for these unexpected tax surprises!
IRS Audit Letter: If you have ever received a letter from the IRS in the mail, your heart will certainly skip a beat. Many people try to simply ignore IRS notices when in fact, they should call a tax professional immediately. They can quickly help to determine how serious the letter is and the appropriate actions to be taken. Remember, even the IRS can make a mistake!
Kids are not eligible for deductions anymore: Some families who do not regularly meet with a financial advisor are often surprised at tax time to learn that their child has “aged” out and is not legally considered an eligible tax deduction any more. The age of your child and their status as a student is used to gauge whether or not they still qualify.
Managing Limited Losses: If you have more than $3,000 in losses from selling assets, and you don’t have a corresponding amount of gains from selling assets, you’re limited to the $3,000 loss. So, if you have a big loss from selling an asset in 2023, and no large gains from selling other assets to use as an offset, you can only deduct $3,000 of your loss on your tax return.
To learn more about the potential tax changes that could impact your short term and long term financial planning, call us at +1516-877-5900 to make an appointment to speak with one of our certified JTS professionals.
