Blog | WM. F. Horne & Company, PLLC


Who Controls the Funds in a Section 529 Plan?


blogs.Education plan

Article Highlights:

  • Qualified Tuition Accounts
  • Custodial Accounts
  • Who Can Contribute?
  • Who Controls the Account?
  • Changing the Account Beneficiary

This question frequently arises: Who controls the funds held in a Section 529 qualified tuition account? These accounts can become quite large, as they are limited only by the projected cost of a college education, and those costs will vary between state plans. Some states base their maximums on the cost of an in-state, four-year education, but…

  • 19 May, 2017
  • Jacqueline Cran
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Consequences of Filing Married Separate




Article Highlights:


  • Joint & Several Liability
  • Exemptions
  • Itemizing Deductions
  • Social Security Income
  • Section 179 Deduction
  • Special Passive Loss Allowance
  • Traditional IRA Deduction Phase-Out
  • Roth IRA Contribution Phase-Out
  • Coverdell Education Accounts
  • Education Tax Credits
  • Higher Education Interest
  • Education Exclusion for U.S. Savings Bond Interest
  • Premium Tax Credit
  • Earned Income Tax Credit
  • Child Care Credit
  • Halved Deductions & Credits
  • Head of Household Filing Status

If you are married and thinking about not filing a joint return with your spouse, you will most likely use the married filing separate (MFS) filing…

  • 11 May, 2017
  • Jacqueline Cran
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Naming Your IRA Beneficiary


blog april

Article Highlights:

  • How Naming Beneficiaries Impacts Traditional IRA Distributions
  • The Impact of Naming Your Trust as a Beneficiary
  • IRA Beneficiary Taxation

The decision concerning whom you wish to designate as the beneficiary of your traditional IRA is critically important. This decision affects:

  • The minimum amounts you must withdraw from the IRA when you reach age 70 ½;
  • Who will get what remains in the account after your death; and
  • How that IRA balance can be paid…
  • 8 May, 2017
  • Jacqueline Cran
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May 2017 Tax Due Dates




May 2017 Individual Due Dates


May 10 – Report Tips to Employer

If you are an employee who works for tips and received more than $20 in tips during April, you are required to report them to your employer on IRS Form 4070 no later than May 10. Your employer is required to withhold FICA taxes and income tax withholding for these tips from your regular wages. If your regular wages are insufficient…

  • 1 May, 2017
  • Jacqueline Cran
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Deducting Convention Expenses




Article Highlights:


  • Trade or Business Requirement
  • North American Area Travel
  • Travel Outside the North American Area
  • Expense Limitations Outside of the North American Area
  • Cruise Ships

Generally, an individual can deduct travel expenses from attending conventions, seminars or similar types of meetings within the North American area, provided that attendance benefits the taxpayer’s trade or business. However, family members’ travel expenses are not deductible, and neither are expenses from attending investment, political, social or other types…

  • 27 Apr, 2017
  • Jacqueline Cran
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Maximizing Your Affordable Care Act Insurance Supplement




Article Highlight: 

  • Financial Assistance for Health Insurance
  • Federal Poverty Level
  • Modified Adjusted Gross Income
  • Household Income
  • Gambling Income
  • Children’s Income
  • Hobby Income
  • IRA Contributions

If you are getting your health insurance through a government Marketplace, you should be aware of several issues that can adversely affect the amount of financial assistance you receive to help pay for the insurance.

Background: Generally, individuals whose household income is between 100 and 400% of the federal poverty level will receive financial assistance…

  • 23 Feb, 2017
  • Jacqueline Cran
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Do I Have to File a Tax Return?


required to file


Article Highlights:

  • When You Are Required to File
  • Self-Employed Taxpayers
  • Filing Thresholds
  • Benefits of Filing Even When Not Required to File
  • Refundable Tax Credits

This is a question many taxpayers ask during this time of year, and the question is far more complicated than people believe. To fully understand, we need to consider that there are times when individuals are REQUIRED to file a tax return, and then there are times when it is…

  • 20 Feb, 2017
  • Jacqueline Cran
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IRS Clamps Down on Tax Credits


irs crack down


Article Highlights:

  • Affected Credits
  • Retroactive Claims
  • Disallowance Periods for Improper Credit Claims
  • Preparer Due-Diligence Requirements
  • 1098-T Requirement to Claim Education Credits
  • Refunds from AOTC and CTC Returns Will Be Purposely Delayed

In an effort to rein in tax fraud, which is costing the government billions of tax dollars, some new laws that take effect in 2016 will clamp down on individuals who have fraudulently claimed the American Opportunity Tax Credit (AOTC), the Child Tax Credit…

  • 16 Feb, 2017
  • Jacqueline Cran
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Don’t Overlook Standard Mileage Rate Add-Ons


mileage rates


Article Highlights:

  • Standard Mileage Rate Expenses
  • Additional Deductible Expenses
  • Auto Loan Interest

Business owners often use the standard mileage rate instead of actual expenses when taking a deduction for the business use of their vehicle. The standard mileage rate is determined annually by the IRS by using data from a study conducted by an independent contractor of vehicle operating expenses based on the prior year’s costs. The operating expenses include:

  • Gasoline,
  • Oil,
  • Lubrication,
  • Repairs,
  • Vehicle registration fees,
  • Insurance, and
  • Straight…
  • 10 Feb, 2017
  • Jacqueline Cran
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Along with Tax Season Come the Tax Scams


This is the IRS...


Article Highlights:

  • Tax Season Brings Scams
  • Key ID Elements
  • How the IRS Operates
  • Email Scams & Phishing
  • Phone Scams
  • ID Thieves

One thing we can count on when tax season begins is the scammers coming out from under their rocks with schemes to try and trick you so they can steal your ID and file returns under your Social Security number (SSN). Or, they may even email or call you pretending to be IRS…

  • 2 Feb, 2017
  • Jacqueline Cran
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