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Did you know USPS has updated their postmark process? The USPS changed its postmark system effective Dec. 24, 2025, now defining the postmark as the date of the first automated processing, which may differ from the drop-off date. This impacts tax filings because documents must bear a postmark on or before the due date to be considered timely under IRC Sec 7502. To ensure compliance, taxpayers should request a manual postmark at a USPS retail counter or use Registered/Certified Mail for proof of

Married couples have a choice when filing their 2025 federal income tax returns. They can file jointly or separately. What you choose will affect your standard deduction, eligibility for certain tax breaks, tax bracket and, ultimately, your tax liability. Which filing status is better for you depends on your specific situation. Minimizing tax In general, you should choose the filing status that results in the lowest tax. Typically, filing jointly will save tax compared to filing separately.

Some small businesses can still benefit from the health care coverage credit Tax credits reduce tax liability dollar-for-dollar. As a result, they can be more valuable than deductions, which reduce only the amount of income subject to tax. One tax credit that hasn’t been getting much attention lately but that can still be valuable for some small businesses is the credit for providing health insurance to employees. Who’s eligible? Under the Affordable Care Act (ACA), certain small

If you itemize deductions on your 2025 individual income tax return, you potentially can deduct donations to qualified charities you made last year. But your gifts must be substantiated in accordance with IRS requirements. Exactly what’s required depends on various factors. In some cases, you must have a written acknowledgment from the charity. Substantiating cash donations If you made a cash gift of under $250, documentation such as a canceled check, bank statement or credit card statement

Did your business make repairs to tangible property, such as buildings, equipment or vehicles, in 2025? Such costs may be fully deductible on your 2025 income tax return — if they weren’t actually for “improvements” that must be depreciated over a period of years. Betterment, restoration or adaptation In general, a cost that results in an improvement to a building structure or any of its building systems (for example, the plumbing or electrical system) or to other tangible

If you own a business or are self-employed and haven’t already set up a tax-advantaged retirement plan, consider establishing one before you file your 2025 tax return. If you choose a Simplified Employee Pension (SEP), you’ll be able make deductible 2025 contributions to it, saving you taxes. Not only is the SEP deadline favorable, but SEPs are easy to set up and the contribution limits are generous. If you have employees, you’ll generally have to include them in the SEP and make

Beginning in 2026, taxpayers in the top federal income tax bracket will see their itemized deductions reduced. If you’re at risk, there are steps you can take before the end of 2025 to help mitigate the negative impact. The new limitation up close Before the Tax Cuts and Jobs Act (TCJA), certain itemized deductions of high-income taxpayers were reduced, generally by 3% of the amount by which their adjusted gross income exceeded a specific threshold. For 2018 through 2025, the TCJA eliminated

The One Big Beautiful Bill Act (OBBBA) allows 100% first-year depreciation for nonresidential real estate that’s classified as qualified production property (QPP). This new break is different from the first-year bonus depreciation that’s available for assets such as tangible property with a recovery period of 20 years or less and qualified improvement property with a 15-year recovery period. Normally, nonresidential buildings must be depreciated over 39 years. What is QPP? The statutory

The final regulations for SECURE 2.0 Act of 2022 were released on September 15, 2025.  There is a key part of this regulation that may affect employers who sponsor a 401(k) plan.  Effective January 1, 2026, catch-up contributions made for a highly paid individual age 50 or over, as defined below, must be made on a Roth basis. To comply with this requirement, plans may adopt a deemed Roth election. This option automatically treats catch-up contributions from highly paid individuals as

Are you thinking about making financial gifts to loved ones? Would you also like to reduce your capital gains tax? If so, consider giving appreciated stock instead of cash. You might be able to eliminate all federal tax liability on the appreciation — or at least significantly reduce it. Leveraging lower rates Investors generally are subject to a 15% tax rate on their long-term capital gains (20% if their income exceeds certain thresholds). But the long-term capital gains rate