Photo by olia danilevich The senior bonus is one of the new tax breaks in the One Big Beautiful Bill Act that became law on July 4. It’s not tax-free Social Security benefits that Donald J. Trump promised. But the $6,000 maximum tax break, or $12,000 for married jointly filing couples where each spouse is age 65 or older, will provide some tax relief to the country’s senior citizens. The new tax break is available to taxpayers regardless of whether they itemize or claim the standard deduction. The tax bonus also is age-related, not tied to the federal retirement benefits.... Read more →
Taxes
Donald J. Trump signs the One Big Beautiful Bill Act, with its many tax provisions, into law during a July 4th ceremony at the White House. (Credit: White House Facebook photo) America’s birthday party is over, but we taxpayers are still unwrapping the tax law gift that the Republican-controlled Congress and Trump administration gave us on July 3. While beauty is in the eye of the tax-advantaged beholder, there’s no disputing the One Big Beautiful Bill (OBBB) Act, officially known as H.R. 1, is big. It’s almost 1,000 pages. Among them are beau coup tax provisions — old, tweaked, and... Read more →
Photo by Anna-Louise Happy 249th Birthday, America! As we celebrate tonight — or before sunset today, or for the last week as some of my neighbors have — we can thank a Founding Father for the pyrotechnic tradition. On July 3, 1776, a day after the Continental Congress in Philadelphia voted for independence (the declaration document itself was transposed on July 4, although it took weeks for all the delegates to sign it), John Adams reflected on the historic step he and his rebellious colleagues had done. The man who would become America's first vice president and its second president... Read more →
If you’re reading this post, it probably means that you haven’t started your long July 4th holiday yet. Sorry. I share your delayed break frustration. Millions of Americans, however, are on the road or have already arrived at their Independence Day destination. Increased July 4 travel: AAA expects 72.2 million people will travel at least 50 miles or more from home over the Fourth of July holiday period, which it defines as from Saturday, June 28, to Sunday, July 6. That forecast is an increase of 1.7 million travelers compared to last year. The calendar is a major factor. “With... Read more →
Update, Friday, July 4, 2025: Donald Trump signed the One Big Beautiful Bill Act into law at a White House ceremony on his preferred July 4 holiday date. Update, Thursday, July 3, 2025: House Republican leaders overcame nominal defiance by some of the party's members and pushed the One Big Beautiful Bill Act through this afternoon, meeting the July 4 deadline set by the White House. Will U.S. Representatives be able to celebrate July 4th at home? UPDATE, July 3, 2025: Yes. It depends on how quickly they can resolve the differences between the One Big Beautiful Bill (OBBB) tax... Read more →
The one big tax and domestic policy bill continues its legislative ping pong, with the latest volley being from the Senate. That chamber's version has gone back to the House for approval. Or not. (Image by djimenezhdez from Pixabay) The Senate approved the Trump administration's massive tax and domestic agenda bill today. Now the House must vote on it again, this time to sign off on the Senate changes to the original One Big Beautiful Bill (OBBB) Act. There's a chance the House could reject the bill. After all, the agreed-to bill wasn't that popular in the Senate. It just... Read more →
Admit it. You never get anything done this month until after July’s fireworks. That’s especially true this year, with July 4 falling on Friday. Many of us are taking extra-long holiday breaks. Enjoy your Independence Day celebrations. And be safe, both in traveling to share the holiday with family friends and in the actual igniting of displays. But once the last mini bombs have burst in the air, leaving only the bottle rocket's red glare, it’s time to get to work. That includes taking a midyear tax checkup. A review now, with half a tax year left, can help you... Read more →
Credit: Unsplash+ in collaboration with Diana Light The Senate is in the midst of its marathon to pass its version of the One Big Beautiful Bill (OBBB) full of tax and other Trump administration domestic policies. The so-called vote-a-rama is expected to go into Monday (June 30) night on the 940-page bill, with Senators trying to revise or remove various provisions that could negatively affect their individual and business constituents, also known as voters. One area that bears close watching by both those voting blocs of particular are the clean energy tax breaks in the Biden Administration’s Inflation Reduction Act.... Read more →
Fall colors and reflection on a beaver pond in Lamoille Canyon, Ruby Mountains District, Humboldt-Toiyabe National Forest, Nevada. (Forest Service photo by Susan Elliott) The cost of the One Big Beautiful Bill working its way through Congress has been problematic from the start. That’s why Republican lawmakers who've written, and rewritten, the measure are continually looking for, shall we say, creative ways to come up with money for its many, many provisions. Or to finagle the calculations. One proposal inserted in the bill would have required the Bureau of Land Management (BLM) and the U.S. Forest Service (USFS) to sell... Read more →
U.S. Senators are working this weekend (really!) on their version of the One Big Beautiful Bill (OBBB) of tax laws and assorted Trump administration domestic policy preferences. The weekend session is because Donald J. Trump wants the final bill — which must go back to the House after it clears the Senate — by July 4. The sweeping federal legislation will affect all Americans, for ill or good. But there’s another, earlier July date of tax significance. July 1 is the start of the fiscal year for most states, and that means plenty of state tax changes take effect at... Read more →
More than 22 million U.S. workers lost their jobs during the early stages of the COVID-19 pandemic. Crooks took advantage of their misfortune to file fraudulent unemployment insurance claims. COVID-19 has to be one of the most persistent illnesses ever, from both medical and financial perspectives. While federal health agencies debate COVID vaccine recommendations and warnings, Uncle Sam’s law enforcement officers, including those with the Internal Revenue Service’s Criminal Investigation unit, continue their efforts to prosecute those who abused coronavirus relief programs. On June 24, officials notched another win when David Godin was sentenced by a federal judge in Baltimore... Read more →
The National Taxpayer Advocate’s midyear report to Congress that was released on June 25 included, among other things, recommendations that the Internal Revenue Service continue its efforts to expand digital tax transactions and make them easier for taxpayers to use. Such technological tax advances are also are of keen interest to the Electronic Tax Administration Advisory Committee (ETAAC). The federal advisory committee was established by Congress as part of 1998's IRS Restructuring and Reform Act. And on the same day this week that the Taxpayer Advocate’s report was issued, ETAAC released its annual report to Congress. ETAAC’s primary goal when... Read more →
The National Taxpayer Advocate’s latest report to Congress urges the Internal Revenue Service to continue its technology upgrades to meet coming challenges, with the top priority being enhanced taxpayer online account options. (Photo by Glenn Carstens-Peters on Unsplash) Despite what you may have heard from the Trump administration and Department of Government Efficiency (DOGE), the Internal Revenue Service has been doing a pretty good job. “Since the COVID-19 pandemic disruptions, the IRS has rebounded to provide much improved taxpayer service,” notes National Taxpayer Advocate Erin M. Collins in her introduction to her midyear report to Congress, Fiscal Year 2026 Objectives... Read more →
The National Hurricane Center's image of Tropical Storm Andrea. The first named system of the 2025 Atlantic hurricane season formed in the central Atlantic Ocean, meaning it's not a threat to make landfall. Almost a month into the 2025 hurricane season, Tropical Storm Andrea has arrived. The good news is that the storm, which is the latest first named system since Hurricane Arthur’s arrival in 2014, is not a threat to any land. Even better news is that Tropical Storm Andrea is not expected to become a hurricane. Forecasters say the storm should weaken later tonight, and dissipate by tomorrow,... Read more →
Image by rakinmorjaria from Pixabay Congratulations to all the newlyweds who tied, or will, the knot this June. Or during any ceremony this summer, or spring or coming fall or winter. Marriage can be challenging, but I wouldn’t trade the decades I’ve spent with the hubby for anything. That includes many joint tax returns we’ve filed. But you shouldn’t wait until tax filing season to get ready for how marriage changes your taxes. Here are six tax matters newly married couples should consider as soon as they get back from the honeymoon. 1. Make sure everyone knows your new name.... Read more →
Justice Department façade photo by JSquish/Wikimedia Commons It’s not a particularly good time to be a federal employee looking to ensure tax compliance. Already this year, the Internal Revenue Service has lost almost a third of its tax auditors thanks to Department of Government Efficiency, or DOGE, cuts. Now the Department of Justice’s (DoJ) special tax crimes unit is being eliminated. The DoJ personnel moves, however, aren’t as drastic as the IRS staff reductions. The jobs won’t be lost, just reallocated to other areas in the Justice Department. Tax division absorbed into other units: The end of the DoJ’s Tax... Read more →
There's no indication that the movie's lead character is a tax accountant, but apparently he's good at his job. And "The Life of Chuck" was popular with viewers at a Canadian film festival where it won the audience award. Photo by Pavel Danilyuk It’s summer, which means movie studios release films they hope will draw people into theaters for more than just a way to avoid the heat. The John Wick spinoff Ballerina hit theaters earlier this month. The family-friendly remake of How to Train Your Dragon with live actors among the fire-breathing CGI beasts also is on screens. And... Read more →
These pups probably would be cooler in the air conditioned inside, instead of atop the cooling unit’s condenser. Everyone, including our furry family members, need to find ways to stay cool during the summer so as not to become victims of the heat. It’s officially summer and Mother Nature is not wasting any time. Summer 2025 is starting with sweltering heat across the central and eastern United States. Many escape hot temperatures by heading to the beach or cooler mountain areas. Those who stay closer to home can go to the movies, wander shopping malls (yes, some still exist), or... Read more →
The official holidays sometimes affect taxes, since the Internal Revenue Service, like all federal offices, closes on these days. Photo by Thomas Wilson Celebrations are planned, and some already underway, across the United States to commemorate Juneteenth. This newest U.S. federal holiday marks June 19, 1865, the day when the last enslaved people in the United States finally got official notification in Galveston, Texas, that they were free, two and a half years after President Abraham Lincoln signed the Emancipation Proclamation. Former President Joe Biden joined other dignitaries in Galveston to observe the day. Biden’s participation is not surprising, since... Read more →
As Congress continues to haggle over how best to prevent falling off a tax cliff when myriad Internal Revenue Code provisions expire at the end of 2025, two other critical deadlines involving popular U.S. social safety net programs were announced. The news is not good for those who currently rely on or one day hope to collect Social Security and Medicare benefits. The report by the trustees of the Social Security and Medicare trust funds, which annually assesses the state of and future outlook for these federal retirement and medical benefits, says both programs will face fiscal shortfall sooner than... Read more →