Category: Direct Tax

When filing your taxes and receiving a Schedule K-1 (Form 1065, 1120S, or 1041), it’s not uncommon to encounter supplemental statements attached to the form. These additional pages—sometimes referred to as footnotes or attachments—contain vital details needed to accurately report...

Read More

Medical expenses can take a serious toll on your finances, but the good news is that the IRS allows you to deduct many qualified expenses if you itemize on Schedule A of your Form 1040. However, to take full advantage...

Read More

Receiving a Schedule K-1 (Form 1065) can be intimidating if you're unfamiliar with how partnerships report income, deductions, and other tax items. As a partner in a partnership or multi-member LLC taxed as a partnership, you’ll receive this form annually...

Read More

Filing your tax return late can lead to significant penalties. However, the IRS offers a potential lifeline in the form of a "reasonable cause" waiver. If you can show that your failure to file on time was due to circumstances...

Read More

Nebraska offers a more accessible route for deducting medical expenses on your state income tax return compared to federal rules. While the IRS allows deductions only for unreimbursed medical expenses exceeding 7.5% of your adjusted gross income (AGI), Nebraska permits...

Read More

When you receive a Schedule K-1 (Form 1065) from a partnership, it provides a breakdown of your share of income, deductions, credits, and other financial information. One key component for many partners is Box 7 – Net Short-Term Capital Gain...

Read More

If you’ve received an IRS Notice CP161 or CP504, it's a serious signal that there may be unresolved tax issues—often stemming from a late filing or an unpaid tax balance. These notices serve as official communications from the IRS, alerting...

Read More

Missing an extension deadline can be stressful, but it doesn’t have to lead to crippling penalties if you act promptly and follow the proper procedures. Whether you’re an individual taxpayer or a business entity, understanding how to file late extension...

Read More

Tax season can be hectic for both individuals and businesses juggling multiple returns, payments, and deadlines. When you realize you won’t make your state tax filing deadline, requesting an extension is your best defense against steep late‑filing penalties. However, each...

Read More

As Americans live longer and healthcare costs continue to rise, long-term care insurance has become an essential part of financial planning—especially for aging individuals and those with chronic conditions. Fortunately, the IRS provides a tax benefit for those who pay...

Read More