’24 Tax Season News: The Retiring Stimulus Payments, Your LLC reporting & S Corp benefits

As we move quickly into the 2024 year, here's some things at the top of the minds of the tax pros at WATAX:

1. Stimulus Sunsets for 2020 Tax Year in May - If you haven't filed taxes in many years and want to capture the stimulus money magic of 2020 year ($1800), you have until May 17th, 2024 to get that tax return to IRS. You won't be able to "efile" that year. You'll have to mail it or fax it (using the assist from WATAX pros). The 2021 year pandemic stimulus relief ($1400) will be around until 2025.

2. BOI reporting for your LLC or Corp by End of 2024. To combat shells for money laundering, the FINCEN wing of the US treasury will require you to report to them the owners of your LLC or Corporation - one time and one time only. IF WATAX creates your LLC, we'll do the reporting for you.

3. Your Profitable Business Might Consider S corp election. If your self employed endeavors are producing real solid profits, you might consider removing the sole prop identity, creating a LLC and electing to be a S corp. S corp dividends aren't taxed for social security/medicare tax (15.35% normally). We would recommend, however, you go on payroll. There are other bennies of S corpdom that your WATAX pros can cover.