Recent News & Blog / Individual Tax
Seller-paid points: Can homeowners deduct them?
Potential homebuyers may now have an opportunity to attain their dreams of purchasing property. If you’re a homebuyer, you may wonder if you can deduct mortgage points paid on your behalf by the seller. The answer is “yes,” subject to some limits. Contact the CPAs and tax advisors at SEK for answers to your tax questions.
Make year-end tax planning moves before it’s too late!
It’s an ideal time to begin making moves that could reduce your tax bills for 2024 and 2025. If you itemize deductions, you may be able to deduct medical expenses, state and local taxes up to $10,000, charitable donations, and eligible mortgage interest. Contact the CPAs and tax advisors at SEK for assistance.
Is your home office a tax haven? Here are the rules for deductions
If you’re a business owner working from home or an entrepreneur with a side gig, you may qualify for home office deductions. On the other hand, employees who work remotely can’t deduct home office expenses under current federal tax law. To be eligible for a deduction, you must use part of your home regularly and exclusively as your principal place of business. The CPAs and tax advisors at SEK can address questions about tax implications and the best way to compute home office deductions.
A spendthrift trust can act as a wealth preserver
A spendthrift trust can be an invaluable tool for preserving wealth for your heirs. It prohibits a beneficiary from directly tapping its funds or transferring its rights to someone else. Instead, the trust beneficiary relies on the trustee to provide payments based on the trust’s terms. Contact the CPAs and estate planning advisors at SEK if you have questions regarding a spendthrift trust.
Understanding the $7,500 federal tax credit for buying an electric vehicle
An eligible taxpayer can claim a credit of up to $7,500 for a new clean vehicle. These are qualified plug-in electric vehicles (EVs) and fuel cell vehicles. An EV must meet certain requirements, and there are income limits to qualify. Contact the CPAs and tax advisors at SEK for more information on tax credits.
What you can do to protect your financial future from the recent social security data breach
Over 2.7 billion Social Security numbers were found to be leaked in a recent data breach. Read how to protect your financial future.
6 tax-free income opportunities
There are ways to collect income and gains free from federal income tax. Contact the CPAs and tax advisors at SEK. Advance planning may lead to better tax results.
Comparison of Harris and Trump tax policy proposals
Presidential nominees Kamala Harris (D) and Donald Trump (R) are floating proposals ahead of what will be a consequential year for tax, with key provisions from the GOP’s 2017 tax overhaul (Public Law 115-97
Filing a joint tax return for the year of a spouse’s death can be beneficial
When a person dies, his or her personal representative (called an executor in some states) is responsible for filing an income tax return for the year of death. In some cases, filing jointly can provide tax savings, such as from a lower tax rate, larger tax credits and higher IRA contribution limits. Contact the CPAs and tax advisors at SEK for more information.
Are you liable for two additional taxes on your income?
High-income taxpayers may face two extra taxes: the 3.8% net investment income tax (NIIT) and a 0.9% additional Medicare tax. Income subject to the NIIT includes interest, dividends, annuities, royalties, rents, passive business income, and net gains from property sales. Wage income and income from an active trade or business aren’t included. Contact the CPAs and tax advisors at SEK to discuss extra taxes and how their impact may be reduced.