December, 2020
Tax & Accounting Solutions LLC (505) 984-0646
A Most Unusual Holiday Season

Few could have imagined nine months ago that we would be adjusting to a very different holiday season in 2020. For us it has meant smaller gatherings, more meaningful conversations, and greater appreciation for those around us. It is a time to reflect on how much all of us at Tax & Accounting Solutions appreciate your business.

It has also meant tax preparation unlike any year in recent memory, due to legislative changes caused by the pandemic. In this month's newsletter, we offer a few tips for preparing your records and — as always — assistance for those of you struggling to understand new rules. If you're ready to talk, call us to schedule an appointment.

Wishing you and yours happy holidays this season and throughout the coming year.

Will your economic impact payment affect your 2020 return?
If the amount of your COVID-19 economic stimulus check was higher than it should have been, you don't need to pay back the excess amount. If you were shorted, you have recourse.
Go ahead and make that donation
Even if you don't itemize your deductions on your tax return, this year you can donate up to $300 to a charity and deduct the amount from your taxes. But beware. There are rules.
§179 vs. bonus depreciation

Depending on business changes made in response to the pandemic, you may want to reconsider how you depreciate business assets this year. Either option provides large deductions.
CARES Act eases the rules for business losses

Tax legislation passed in 2017 limited net operating loss carryforwards to the following year, but the CARES Act has liberalized the rule by retroactively postponing the limits. If your business suffered a loss in 2018, 2019 or 2020,
Dec. 15
Corporations must deposit the fourth installment of estimated tax for 2020
Dec. 25
Our office will be closed
Jan. 1
Our office will be closed
Person writing Happy Holidays in calligraphy script with sepia tone