TaxEsqBlog -by Ronald J. Cappuccio, J.D., LL.M.(Tax)

Net Operating Loss Carryovers for Individuals The American Recovery and Reinvestment Act of 2009 (ARRA) provides   individual taxpayers potential net operating loss (NOL)  deductions. The IRS has provided opinions stating the ARRA  applies to individual s. An “Eligible Small Business” can elect to carry back a 2008 NOL for  up to five years. The IRS has broadly interpreted the definition of such businesses. Call Ronald J. Cappuccio, J.D., LL.M.(Tax) at (856) 665-2121 if you need some guidance on the NOL changes.

Offshore Accounts Get Hammered! The IRS is starting to prosecute UBS customers with Swiss and Offshore accounts that have not reported them. On March 28, the IRS issued a directive making this a high priority. If you are thinking of buying books or consulting services from someone that sells "Asset Protection" by using "secret" offshore accounts and bearer stock, check with your tax lawyer before your do anything!

The IRS announced the following inflation adjustments for 2009: The value of each personal and dependency exemption, available to most taxpayers, is $3,650, up $150 from 2008. The new standard deduction is $11,400 for married couples filing a joint return (up $500), $5,700 for singles and married individuals filing separately (up $250) and $8,350 for heads of household (up $350). Nearly two out of three taxpayers take the standard deduction, rather than itemizing deductions, such as mortgage interest, charitable contributions and state and local taxes. Tax-bracket thresholds increase for each filing status. For a married couple filing a joint return, for example, the taxable-income threshold separating the 15-percent bracket from the 25-percent bracket is $67,900, up from $65,100 in 2008. The maximum earned income tax credit for low and moderate income workers and working families with two or more children is $5,028, up from $4,824. The income limit for the credit for joint return file...