Werner, O'Meara & Co., PLLC

09/28/2026

Kamila Antuna-Toledo
Kamila joined Werner O’Meara & Co in June 2026 after graduating from the University of Washington Bothell in August 2025. She earned her BA in Business Administration with a specialization in Accounting and also holds an AA in Business from Everett Community College. She brings prior experience in customer service, payroll, and volunteer tax preparation, as well as a desire to help her local community succeed financially. Kamila is currently working towards passing the CPA exams and is committed to growing her technical skills in public accounting as our newest Staff Accountant.
Outside of work, she enjoys spending time with friends and family. She loves yoga, gaming, and going on walks with her two dogs.

09/28/2026

IRS MOVING AWAY FROM PHYSICAL CHECKS (AND WHY YOU MAY HAVE RECIEVED A NOTICE)

The IRS continues its transition away from issuing physical checks and has sent notices to millions of taxpayers who do not have direct deposit banking information on file. With paper checks becoming more costly and more vulnerable to theft or loss, the IRS encourages taxpayers to provide direct deposit information to receive tax refunds and other government payments electronically. The IRS states that direct deposit provides the fastest, safest, and
most reliable way to receive refunds.

The IRS sent these notices broadly, including to many taxpayers who did not need to take any action. This includes taxpayers who are not due a refund, had a balance due, or applied their payment forward to their 2026 estimated tax payments.

If you receive one of these notices and it does not apply to your situation, ignore it. If the IRS needs banking information from you in the future, we will provide it then.

The IRS expects this transition away from paper checks to continue through 2026 and plans to move to a predominantly electronic refund system.

~Rachel Griscom, CPA

09/21/2026

MAJOR CHANGES TO WASHINGTON ESTATE TAX RATES AND EXEMPTIONS

Washington State has enacted new legislation that significantly changes estate tax rates and exemption amounts, effective over the next year. In 2025, prior to the latest law, the top estate tax rate was set to increase to 35%, and the estate tax exemption amount was scheduled to be indexed for inflation, resulting in a $3,000,000 exemption from July 1 to December 31, 2025. For deaths occurring between January 1 and June 30, 2026, the exemption increased slightly to $3,076,000 due to inflation adjustments.

In response to concerns that the higher rates were causing wealthy
residents to leave the state, lawmakers passed a new bill (effective June 11, 2026) that reinstates the previous estate tax rate schedule, lowering the top rate from 35% back to 20% as of July 1, 2026. The new law also freezes the estate tax exemption at $3,000,000 for estates of decedents dying on or after July 1, 2026, with no future adjustments for inflation. Because the estate tax rates and exemption amounts change mid-year in both 2025 and 2026, the date of death will greatly impact estate tax outcomes. Please reach out if you have any questions about how these changes may affect your specific situation—we’re here to help!

~Alexandra Carney, CPA

08/24/2026

CONGRATULATIONS JOSHUA!
We are thrilled to announce that our staff accountant, Joshua Erling, passed the CPA exam!

Josh’s dedication, hard work, and commitment to excellence led to this outstanding accomplishment, and we’re proud to have him on our team—please join us in congratulating him on reaching this important career milestone as we look forward to all he will achieve in his expanded role.

08/02/2026

WASHINGTON'S NEW "MILLIONAIRE'S TAX" SET TO TAKE EFFECT IN 2028

In 2026, the Washington Legislature enacted a new “Millionaire’s Tax,” which will impose a 9.9% tax rate per household for annual income exceeding $1,000,000. It applies to residents and non-residents with WA-source income, taxing individuals on income, including from pass-through entities. This means that the first $1,000,000 of income each year is not subject to the new tax, but any amount above that threshold will be taxed at 9.9%. The tax is scheduled to take effect for the 2028 tax year, with the first payments due in 2029. It’s important to note that this measure will likely face legal challenges and potential litigation.
~Sharie Landsverk, CPA

06/30/2026

As tax refund delivery methods transition to fully electronic federal payments, Direct Deposit remains the safest and quickest way to receive your refund. Join the age of electronic options: irs.gov/directdeposit

06/30/2026

WASHINGTON TAX DEADLINE EXTENDED FOR DISASTER VICTIMS

The IRS has again extended the federal tax filing and payment deadline to August 5, 2026 for taxpayers affected by the severe storms, flooding, landslides, and mudslides that hit Washington in December 2025. The relief applies to individuals and businesses in FEMA-designated disaster areas.

Eligible taxpayers now have more time to file federal tax returns, make tax payments, submit quarterly estimated tax payments, and make 2025 IRA, Roth IRA, or HSA contributions. Taxpayers who meet the IRS criteria will avoid late-filing and late-payment penalties if they meet these obligations by August 5, 2026.

~Joshua Erling, CPA

06/24/2026

KWONG V. UNITED STATES: PROTECTIVE REFUND CLAIMS FOR COVID-ERA PENALTIES AND INTEREST

A recent court ruling, Kwong v. United States, may allow some taxpayers to recover penalties and interest they paid during the COVID-19 disaster period. If you paid underpayment interest, failure-to-pay penalties, or failure-to-file penalties during 2020 through 2023, you may want to act now to preserve your refund rights.

What the Court Held in Kwong
In Kwong, the U.S. Court of Federal Claims held that federal tax filing and payment deadlines automatically paused for the full duration of the federally declared COVID-19 disaster period. The court treated tax due dates as suspended from January 20, 2020 through July 10, 2023. Based on that interpretation, the court concluded that the IRS lacked legal authority to assess underpayment interest and certain penalties during that time.

Why You Must Act Before July 10, 2026
The IRS will not issue refunds automatically. Taxpayers must file a protective claim to preserve their rights while the case moves through the appeals process. For most taxpayers, the deadline to file a protective claim under the court’s framework falls on July 10, 2026.

Important Considerations: Litigation Risk and Professional Fees
This issue remains in active litigation. The IRS has appealed, and the courts have not issued a final, binding decision. As a result, no one can guarantee a refund.

If you ask our firm to assist, we will charge a fee to review your account history and prepare the filings. You will incur these preparation costs even if the IRS ultimately denies the claim or the courts reverse the decision. We will email clients directly if they stand to claim $1,000 or more. If you have not heard from us and think you should file a claim, please contact your CPA.

~Peg O'Meara, CPA

04/22/2026

The IRS is sending out CP53E notices to taxpayers if they don't have valid banking information on the 2025 tax return, regardless of whether you're getting a refund or not. If you aren't expecting a refund, there is no required action. If you are getting a refund, you can expedite the refund process by going to IRS.gov creating an account and updating your banking information. If you do not respond to the notice, the IRS will issue a paper check after 6 weeks.

Why wait to get your refund? Providing your bank information while filing can get your refund sent directly to your bank account.

If your banking information is incorrect or missing on your return, the IRS may send you a CP53E notice. You can update your direct deposit information or respond to your notice using your IRS Individual Online Account.

For more information visit https://ow.ly/cHEg50YCRhR.

03/27/2026

Special Thank You to Our Silver Sponsor! 🌟

We are incredibly grateful to Werner, O'Meara & Co., PLLC for their generous Silver Sponsorship of the Our Lady of Hope School Spring Gala & Auction — Sparkle, Shine & Inspire.

Your support helps empower our students, uplift our teachers, and strengthen our entire school community. 💙

🔗 Learn more about Werner O’Meara & Company PLLC:
https://wernercpa.com/

✨ Interested in becoming a sponsor? Join our amazing partners here:
https://ladyofhopeschool.ejoinme.org/2026Sponsor