Posts by Peter Soh

Earned Income Tax Credit

For many, 2020 proved to be a “lost year.” Especially financially speaking. Employment income among wage-earners was down almost universally. And those in the middle and lower-income brackets were among the hardest hit. That said, there’s a built-in tax credit that specifically addresses folks in this position. It’s called the Earned Income Tax Credit (EITC). And the EITC could result in a very tidy tax refund for those who qualify. In fact, your refund could
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Tax Prep Q&A

  It’s that time of year again… The tax season is upon us! And with no indication of any reprieve — in the form of an extension on this year’s filing date — the Tax Man is looking for his due no later than April 15th. Which, of course, means it’s time to get your finances in order. But with the topsy turvy year that’s just passed us by, no one would be surprised if
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Congress Passes $900 Billion COVID Relief Package

  First off, Happy New Year! I hope you all enjoyed a happy, and most importantly, healthy holiday season. Secondly, it’s a brand new year… But we’re still facing many of the same problems. Particularly in California. Govern Newsom has extended the current lockdown order “indefinitely.” Which has forced many businesses to shutter or further curtain operations. Of course, this is bad news for a whole lot of people, business owners and employees alike. And
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The State of California Authorizes $500 Million in Small Business Aid

  There’s certainly no disagreement that 2020 has been a real kick in the behind. And with renewed “lock-downs” and continued uncertainty over how the promised vaccine will be rolled out and what impact it will ultimately have, financial instability remains the current “norm.” The US Congress has just passed a $900 billion COVID aid package. The President has complained about the bill and is pushing for larger direct stimulus payments. The current package, which
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Will Businesses Who Took PPP Funds Be Hit With A Big Unexpected Tax Bill?

  Given the complete financial and economic bedlam 2020 has unleashed, the Payroll Protection Program (PPP) has been an absolute Godsend from countless small businesses AND their employees. But that said, the program has not come without its share of confusion, and in some cases, consequences. And one of the biggest concerns for many businesses as we coast into the end of the fiscal + calendar year is whether or not PPP funded expenses can
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2020 Year-End Tax Planning

  The “final curtain” may not quite have fallen yet… But most appearances indicate Joe Biden is destined to be the 46th President of the United States. In my last couple of updates, I’ve covered how changes to the tax code under the Biden administration might impact your taxes. And again, “Might” is the operative word here… The President-Elect is facing a tough, uphill battle in hopes of passing ANYTHING in the Republican-controlled Senate. And
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Trump Vs. Biden… Which Candidate’s Tax Plan is Best for Your Finances?

  With less than a week left until the upcoming Presidential election, it’s nearly GO TIME for US voters! The “polls” still have Biden leading President Trump by a solid margin. But it’s worth noting that Hilary Clinton held roughly the same lead at this point in the run-up to the 2016 Presidential election. And we all know that turned out… Moreover, incumbent candidates have historically dominated elections in American politics, typically scoring victories over
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AB 5 Rules Relaxed For Writers + Musicians, New CARES Act Carry-back Extension, And Biden’s Tax Plan

  Following more than six months of sheer chaos, the world seems to be settling down a bit. Or course, concerns surrounding COVID-19, and its impact on the economy persist. But most folks are looking to regain some measure of “normality” (whatever that actually means going forward) in their personal and professional lives. In the meantime, a couple of important tax legislation revisions have emerged. And with the Presidential election looming, many are wondering what
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AB 5 Generates Unintended Consequences For Many Independent Contractors

Assembly Bill 5 (AB 5) was passed by the California Legislature last year (2019) and officially took effect in January. This sweeping new legislation, which impacts the 2020 fiscal year and beyond, seeks to address what the California State Government sees as a gaping hole in the so-called “gig economy.” Outfits like Uber, Lyft, and the myriad food delivery services have all refused to grant drivers official “employee” status. Instead, insisting their legions of self-scheduling
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