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Our latest edition of Tax Breaks. Plus: Supreme Court rules on Moore, IRS denies billions in ERC claims, tax deductions, industry news, and more. [ABSTRACT FROM AUTHOR]

The world's richest people donated a combined total of $175 billion to charitable causes in 2020. [ABSTRACT FROM AUTHOR]

A Colorado homeowner discovered that her new house came with walls full of snakes. Mitigating that damage will be expensive—but is it also tax deductible? [ABSTRACT FROM AUTHOR]

To benefit from most tax-favored moves for 2022, you needed to have taken action by December 31, 2022. But there's a significant exception to that rule: contributing to an IRA. [ABSTRACT FROM AUTHOR]

Section 1706 of the Tax Reform Act of 1986 has generated political debate and industry association reaction. Section 1706 imposes stricter requirements on independent contractors, making it harder for independent programmers and analysts to qualify for tax write-offs. Some political representatives are proposing to delay Section 1706 or do away with it. IEEE believes that Section 1706 will put independent contractors out of business. ADAPSO believes the law clarifies requirements for independent contractors and repealing it would give unqualified consultants a tax loophole.

The wrangling over the federal budget has left up in the air a tax incentive for research and development spending and capital investment. According to the proposal, an investor in a company with less than $50 million capitalization could deduct up to 25 percent, or $50,000, from taxable income in the first year of the investment. If held for five years, only half the sale price of the investment would be subject to taxation. Both the aerospace and electronics industries are lobbying hard for the incentive, which was part of the budget compromise voted down by the House., Tax Incentive Hangs in the Balance WASHINGTON -- A muchsought tax incentive for capital investment and R&D equipment spending hangs in the balance after the House last week rejected a [...]

Engineers completing their 1984 taxes can reduce surprises by starting now to come up with a tax strategy for 1985. An accounting firm suggests beginning financial planning while doing 1984 tax returns by examining withholding to possibly discover that savings can be more profitable elsewhere than by getting a large refund from the IRS. Engineers should note new restrictions on deductions for home computers and business use of cars. Financial planning has benefits for engineers earning $40,000 with an average savings of $10,000. The Institute of Electrical and Electronics Engineers suggests its members utilize computerized financial planning services or a qualified financial planner for professional advice.