Last week I wrote that three Treasury auctions this week would tell us a lot about where the bond market, and by extension the economy, is headed. Two of the three are now in, and I am pleased to report the news is better than I feared. Tuesday's 3-year note auction was steady: no real signal for better or worse. Today's 10-year note auction was measurably better than expected. Foreign buyers, the ones everyone worried had left the market, took 80 percent of the sale, and the

Sep 30, 2026 Why I'm writing I am not a financial planner, and this is not investment advice. I am your tax and accounting professional, but when I notice something in the financial system that could seriously affect the people I work with, I want to warn you and provide information to assist you. Something is happening in the bond market right now that I think is worth a phone call to whoever manages your investments. I am not predicting a crash. Serious people disagree abo

If you own rental properties, you understand the frustration: your losses do not help unless you qualify as a real estate professional under tax law and materially participate in the properties. Both requirements depend on hours. The real estate professional test alone requires at least 750 hours a year, and no other work activity can take more of your time. Here is a source of hours that many owners overlook: your travel time to and from the rentals. In a recent tax court ca

The federal debt just went over the $40 trillion amount – and to many often feels like an abstract Washington problem — a number too large to matter to a business writing payroll checks in Phoenix, Seattle or San Diego. It isn't. The debt reaches small business owners through a handful of concrete channels, and it hits both the business and the owner's personal balance sheet. How It Hits the Business Higher borrowing costs. The federal government borrows more than any other e

The IRS announced a new online “Tax Debt Help” tool on April 16, 2026. It is not a settlement program by itself. It is more like a guided intake tool on IRS.gov that asks a few questions and points you toward the debt-resolution option that fits your facts. What it does: It walks individuals and businesses through a series of questions about their financial situation and tax debt. Based on the answers, it directs users to possible options such as: payment plans temporary del

An “increased-limit” SIMPLE is based on the employer’s size (headcount test) and—if they’re bigger—whether they made an opt-in election and bumped the employer contribution formula. The IRS COLA notice just says there are two limits ($16,500 vs. $17,600 and $3,500 vs. $3,850 catch-up for 2025), but the why is in the tax code. IRS 1) If the employer had 25 or fewer employees last year, it’s basically automatic The higher “adjusted dollar amount” applies when the employer h

A client briefing from Records In Order If you've ever wanted to offer paid family leave but worried about the cost, 2026 is the year to take another look. As part of last year's major tax legislation (the One Big Beautiful Bill Act, marketed as the working families tax cuts), Congress made the Employer Credit for Paid Family and Medical Leave (IRC §45S) a permanent part of the tax code — and expanded it in ways that make it far more usable for small and mid-size employers. W

For a business with fewer than 20 employees, internal controls can feel unrealistic. There may not be an accounting department. One person may handle bookkeeping, deposits, bills, payroll, customer payments, and bank reconciliations. The owner may be busy selling, managing jobs, serving customers, and putting out daily fires. But small size does not eliminate the need for controls. In fact, it usually makes controls more important. The goal is not to build a big-company burea

A guide for clients between pre-retirement and 73 years old A client briefing from Records In Order — Tax & Accounting If you are in your fifties or sixties, you may be sitting in the single best window of your life for a Roth conversion — and it is a window that closes. Here is what a conversio n does, why timing matters so much at this stage, and what it means for the people who will inherit your accounts. What a conversion actually is You move money from a traditional IRA

REMINDER: Your business tax return does NOT include, nor does it replace the requirement to file a Statement of Information/Officers with the California Secretary of State. Corporations are due annually. Limited Liability Companies are due every other year. FAILURE TO FILE YOUR STATEMENT OF OFFICERS/INFORMATION (aka 'DOMESTIC STOCK' REGISTRATION) WILL RESULT IN PENALTIES of $250 or more. This is also referred to as an SI form or filing. This is normally and should be a s

Under the One Big Beautiful Bill Act (OBBBA) and subsequent IRS guidance (such as Notice 2026-5), the rules around Health Savings Account (HSA) eligibility were expanded significantly. Because most plans are now eligible, it is easier to inform you which plans make you ineligible to contribute to an HSA. Health plan types that are not eligible to contribute to an HSA: 1. Traditional Non-HDHPs (Silver, Gold, and Platinum Plans) While the OBBBA automatically grants HSA eligib

The Working Families Tax Cuts allows parents, guardians and other authorized individuals to establish a new type of individual retirement account for their children, called Trump Accounts. The account is for a child who has not turned age 18 before the end of the calendar year in which the election is made and has a valid Social Security number. It features a pilot program contribution of $1,000 provided for by the federal government for children born between Jan. 1, 2025, an

The IRS may owe you a refund. If so, you need to act now to protect your right to collect it. This applies for taxpayers, individuals, LLCs, and corporations, that were assessed penalties and interest between January 20, 2020 and July 11, 2023 for any tax filing period, for any type of federal tax. In a major taxpayer victory, the Court of Federal Claims JUST ruled in Kwong v. United States that a COVID-era law postponing many tax filing and payment deadlines applied automati

One of the simplest ways to avoid 1099 problems is this: collect Form W-9 before making payment to any independent contractor or vendor that may require a 1099 , and yes, even your landlord. Note an exception : If you pay rent to a property management company, a 1099 is not required, and thus a W-9 is not needed. A completed W-9 gives you the vendor’s legal name, tax classification, and taxpayer identification number (TIN). Without it, you may not have what you need to prop

Using your Bitcoin as collateral for a cash loan can be a smart way to access funds without selling your BTC - meaning you potentially avoid a taxable event

ChatGPT said: Under both federal and California tax law, a portable ADU (Accessory Dwelling Unit)—such as a modular home—placed on your primary residence’s property and used as a rental unit can be deductible, but the deductibility depends on how the expenses are categorized and the percentage of use. Here’s a breakdown: 1. Federal Tax Treatment (IRS) If the ADU is placed on your property and used as a rental, it is treated like a rental property. That means: ✅ Deductible

Terms: The date in front refers to the effective date or the effective time period if limited Business Taxable Income : The Qualified Business Income Deduction [QBID] was made permanent and improved. This is substantial for most business owners, and refers to the 20% reduction in taxable business income that was set to expire on 12-31-25. For Specified Service Trade or Businesses - such as law, accounting, health, athletics, performing arts and such - the phase-out still

Terms: The date in front refers to the effective date or the effective time period if limited MAGI refers to Modified Adjusted Gross Income, which is your total income less things like IRAs, student loan interest, etc. EV Electric Vehicle Individual Tax Provisions Credits – 1/1/25 – Child Credit is raised from $2,000 to $2,200 for children 16 years of age or younger at year end. For older qualified dependent children, the annual credit is $500. EV Credit is no longer avail

Find below the direct quote from the IRS Small Business and Self-Employed Website http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/S-Corporation-Compensation-and-Medical-Insurance-Issues S Corporation Compensation and Medical Insurance Issues Treating Medical Insurance Premiums as Wages Heath and accident insurance premiums paid on behalf of the greater than two percent S corporation shareholder-employee are deductible and reportable by the S corporation as wag

From The Tax Advisor : The energy efficient commercial buildings deduction under Sec. 179D provides taxpayers with an incentive to make certain commercial building property more energy efficient. The Sec. 179D deduction has been in effect since Jan. 1, 2006, and was made permanent as part of the Consolidated Appropriations Act of 2021, P.L. 116-260, enacted in December 2020. A new and enhanced version of Sec. 179D was signed into law on Aug. 16, 2022, as part of the Inf