Mr. Tax Systems II

01/14/2026

There are lots of changes this year! This article offers a nice summary of changes for the 2025 tax year.

The One Big Beautiful Bill Act, which was signed into law in July, created several new tax provisions and made changes to others that are in effect for this year. So it’s worth having the rundown of some of the key ones before preparing your 2025 tax return.

01/05/2026

Happy New Year, everyone! I'll start this tax season off with some humor. From Jeff@TheFantasyEng:
"My son asked what taxes are, so I gave him a bag of m&m's and explained that he has to give some to me and I know how much he has to give me but he has to guess himself and if he's wrong he goes to prison." 😆

02/21/2025

Self employed individuals are audited at a higher rate compared to the average taxpayer. Take a look at this article to help lower your risk.

Taxpayers who file Schedule C with their Form 1040 have a greater chance of an IRS audit.

01/22/2025

Mr Tax Systems II will be closed Thursday, January 23, due to snow and ice conditions! Since this may not happen again in our lifetime, take time to enjoy this winter wonderland and stay safe!
E-File opens January 27. Filing early is ideal! Check out this Fidelity article explaining why.

Early filers can get faster refunds

01/30/2024

I can't stress the importance of filing your company's BOI report enough. Take a look at these Q & A's. Take note of the penalty for failure to file on time.
https://www.wolterskluwer.com/en/expert-insights/fincen-issues-new-faqs-on-the-beneficial-ownership-reporting-that-begins-january-1

"Category K – Compliance/Enforcement
Q. What penalties do individuals face for violating BOI reporting requirements?
A. As specified in the Corporate Transparency Act, a person who willfully violates the BOI reporting requirements may be subject to a civil penalty of up to $591 for each day that the violation continues. That person may also be subject to criminal penalties of up to two years imprisonment and a fine of up to $10,000. Potential violations include willfully failing to file a beneficial ownership information report, willfully filing false beneficial ownership information, or willfully failing to correct or update previously reported beneficial ownership information. "

Learn about the new FAQs providing additional guidance and information related to BOI reporting requirements.

01/25/2024

If you have an LLC or a Corporation you need to be aware of a new Federal requirement for reporting beneficial owner information. It's a one time reporting process and there is no fee involved. Read more at this link.
https://www.fincen.gov/boi

From their brochure:
"New Federal Reporting Requirement for Beneficial Ownership Information (BOI) Effective January 1, 2024, many companies in the United States must report information about their beneficial owners—the individuals who ultimately own or control the company—to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury. Filing is simple, secure, and free of charge. Beneficial ownership information reporting is not an annual requirement. Unless a company needs to update or correct information, a report only needs to be submitted once. "

Many companies are required to report information to FinCEN about the individuals who ultimately own or control them. FinCEN began accepting reports on January 1, 2024. Learn more about reporting deadlines.

07/06/2023

Ouch! To quote this article, "Property, such as your home, held in an irrevocable trust 'that is not included in the taxable estate at death' will no longer receive a step-up in basis. Here’s why the wording of that is key."

Property, such as your home, held in an irrevocable trust 'that is not included in the taxable estate at death' will no longer receive a step-up in basis. Here’s why the wording of that is key.

07/05/2023

More scams! This one is a letter from the IRS saying you are due an unclaimed refund. They are requesting bank information and other "sensitive" security information. BEWARE!

IR-2023-123, July 3, 2023 — The Internal Revenue Service warned taxpayers today to be on the lookout for a new scam mailing that tries to mislead people into believing they are owed a refund.

06/20/2023

If you're a business owner, don't be scammed by solicitation calls telling you you are eligible for the Employee Retention Credit. To quote the attached article, "After warning business owners about “third parties” promoting the employee retention credit in October, the IRS added the issue to its annual list of “Dirty Dozen” tax scams for 2023."

The employee retention tax credit was created for businesses affected by the Covid-19 pandemic. Here's what to know before amending tax returns to claim it.

02/18/2023

https://www.floridarealtors.org/news-media/news-articles/2023/01/renting-room-can-hurt-homestead-tax-exemptions

As Floridians, we need to be paying close attention to what could be happening to our homestead exemptions. Especially to those using part of their home as an office or rental property.

Some Fla. homeowners with homestead property-tax exemptions are finding that the exemption is at risk if they rent out part of the home or run a small business.