News and Events

With the rise of the gig economy, many individuals find themselves balancing a traditional job with a side hustle. However, understanding how the IRS classifies your side hustle—as a hobby or a business—can significantly impact your tax obligations. This distinction affects how you report income and what deductions you can claim. Determining Your Side Hustle’s […]

As students prepare to head back to school this fall, it’s important to be aware of the tax credits available for education expenses. These credits can provide significant savings, helping to offset the cost of tuition, fees, books, and other related expenses. Here’s a guide to understanding and claiming these valuable tax benefits. Understanding Student […]

Disasters can strike without warning, impacting both businesses and individuals. Having a well-structured emergency preparedness plan is crucial for minimizing damage and ensuring quick recovery. For businesses, the IRS underscores the importance of including financial records in your disaster preparedness strategy. This involves creating electronic copies of key documents, such as bank statements, tax returns, […]

Starting at age 25, if you save $100 a month in a regular savings account for 40 years at the average interest rate of 0.47% annual percentage rate you would have just $52,367 in retirement savings. However, by contributing the same amount to a 401(k) plan, assuming a conservative rate of return of 6.5%, you […]

Estimated taxes are periodic payments made by individuals and businesses to the IRS on income that is not subject to withholding. This includes income from self-employment, interest, dividends, alimony, rent, gains from the sale of assets, prizes, and awards. Who Needs to Pay Estimated Taxes? If you expect to owe $1,000 or more in tax […]

Don’t Wait Until the Last Minute to Submit Your Tax Information It is crucial to ensure all your tax information is submitted promptly. While filing for an extension does grant additional time, it should not be interpreted as a reason to procrastinate. Here is why getting your information in early is essential:  1. Avoid the […]

The IRS has released new guidelines under the Inflation Reduction Act regarding tax credits for clean vehicles. If you purchase a new environmentally friendly vehicle, you could be eligible for a credit up to $7,500. For used clean vehicles, the credit can go up to $4,000, provided the vehicle costs no more than $25,000. However, […]

Receiving mail from the IRS can often be unsettling. However, understanding how to properly respond can make the process much smoother and less daunting. It is important for taxpayers to carefully read and understand the contents of any correspondence from the IRS. Typically, these letters or notices are related to a federal tax return or […]

Martin Starnes & Associates is pleased to share highlights from the recent Government Finance Officers Association (GFOA) Spring Conference, held in March at the Benton Convention Center in Winston-Salem, NC. We proudly supported the event as a silver sponsor, underscoring our commitment to the public sector and finance community. Our Senior Manager, Ko Tang Cha-Moses, […]

Deadlines: Navigating the Extension Timeline   As the tax deadline approaches and your financial documents are not ready, we can secure a tax extension for you, providing extra time to file your return with precision. An extension moves your filing deadline to October 15th, giving you the opportunity to collect all necessary information and perfect […]