A+ Tax Service

07/23/2026

Tips for tracking charitable donations

Taxpayers who have made or plan to make charitable donations during the year should keep good records of all their contributions. Organized records can make tax filing easier and help support a deduction if it's claimed on a federal tax return.

Here are some tips to help taxpayers keep track of charitable donations:

General deduction rules. Generally, taxpayers must itemize deductions on Schedule A (Form 1040), Itemized Deductions to claim a deduction for charitable contributions. However, beginning with tax year 2026, taxpayers who do not itemize may be able to deduct up to $1,000 in cash contributions, or $2,000 for married taxpayers filing jointly, made to certain qualified organizations.

Know what qualifies. Donations to individuals are not deductible. Examples of this include gifts or individual fundraising accounts. Taxpayers can use the Tax Exempt Organization Search tool on IRS.gov to verify whether an organization is eligible to receive tax-deductible contributions.

Keep proof of all cash donations. For any cash, check or other monetary gifts, taxpayers should keep a bank record or written communication from the charitable organization showing the organization's name, the date of the contribution and the amount donated.

Get a written acknowledgment for larger donations. Contributions of $250 or more, cash or property, require a written acknowledgment from the qualified organization before the deduction can be claimed. The documentation must include the amount of cash or description of the property. It also must state if the organization provided any goods or services in exchange for the gift. If so, description and a good faith estimate of the value of those goods or services must be provided.

Maintain records for non-cash donations. Taxpayers should keep records describing donated property and its fair market value. Additional documentation, including Form 8283, Noncash Charitable Contributions, and a qualified appraisal may be required for larger noncash donations.

Special rules apply to donations of certain types of property such as automobiles, inventory and certain other readily valued property. For more information, refer to Publication 526. For information on determining the value of noncash contributions, refer to Publication 561.

Send a message to learn more

07/22/2026

Types of major life events and how they can affect filing

There are several kinds of major life events that can affect a taxpayer’s filing requirements, tax benefits and withholding. It could be marriage, welcoming a new child, divorce, or loss of a loved one- all of these can impact their tax situation. Here are some common life events and an overview of their effects.

Marriage
Getting married may affect a taxpayer's filing status, tax withholding and eligibility for certain tax benefits. Newly married couples should report any name change to the Social Security Administration and any address change to the U.S. Postal Service, employers and the IRS. They should also review their tax withholding and update their W-4 with their employer, if needed.

Birth or adoption of a child
A new child may make taxpayers eligible for tax benefits, including the Child Tax Credit, Adoption Credit or Child and Dependent Care Credit. There are individual eligibility requirements for each type of credit. The parent’s or taxpayer must have a valid Social Security number along with the child, to apply.

Divorce or legal separation
Getting divorced or legally separated affects filing status, tax withholding, who can claim dependents, and eligibility for certain credits and deductions. Changes to income, withholding and filing status may require taxpayers to update their Form W-4.

Death of a spouse or family member
The death of a spouse or loved one can affect filing requirements and status. In general, a final individual income tax return of a deceased person should be filed the same way if the person were alive. All income must be reported up to the date of death along with the claiming of any eligible credits or deductions.

After any major life event, taxpayers should review their withholding, update their personal information and keep important records. IRS online tools and resources at IRS.gov can help taxpayers understand how these changes may affect their taxes and prepare them for the next filing season.

Send a message to learn more

07/20/2026

Form 1099-K – Did You Know?

If you receive a Form 1099-K, review it for payments that may not be taxable, such as reimbursements from friends or family. If these payments were mistakenly included, ask the payment processor to issue a corrected form. Keep in mind that some transactions involving personal items may still have tax consequences, particularly if you sold an item for more than you paid for it.

07/17/2026

IRS Tax Lien filing are up ... Don't ignore those letters!

Federal tax liens filed by the Internal Revenue Service can impact people's employment and their ability to access credit.

07/14/2026

Increased Standard Mileage Rates Starting July 1, 2026

Due to higher fuel prices, the IRS has increased the standard mileage rate for business driving to 76 cents per mile for mileage incurred on or after July 1, 2026. The rates for medical travel and eligible moving expenses have also increased to 23.5 cents per mile.

The charitable mileage rate remains unchanged at 14 cents per mile, while the previously announced 2026 rates continue to apply to mileage incurred before July 1.

07/06/2026

I Owe the IRS but Can’t Afford to Pay—What Really Happens Next

When someone owes the IRS and can’t afford to pay, the most common response is…doing nothing. Not because they don’t care—but because they’re overwhelmed, scared, or unsure what options exist. Unfortunately, silence doesn’t pause the process. It starts one.

Here’s a plain-English walkthrough of what the Internal Revenue Service typically does when a taxpayer takes no action.

Step 1: The Letters Start (And Slowly Escalate)

The IRS begins with a series of notices explaining the balance due. Early letters are informational and relatively mild. They outline what’s owed, how to pay, and what happens if the balance remains unpaid.

Many taxpayers ignore these notices hoping the issue will resolve itself. It won’t. Each letter moves the account closer to enforced collection—even if months pass between notices.

Step 2: Penalties and Interest Quietly Grow

While nothing seems to be happening, penalties and interest continue to accrue daily. A manageable balance can quietly grow into something far more serious.

This is where many taxpayers lose ground without realizing it. The IRS doesn’t need to act aggressively for the debt to get worse—it grows automatically.

Step 3: The IRS Files a Tax Lien

If the balance remains unpaid, the IRS may file a Notice of Federal Tax Lien. This publicly secures the government’s interest in your property and future assets.

A lien can:

• Complicate refinancing or selling property
• Signal that enforcement is escalating

At this stage, the IRS still hasn’t taken your money—but it has positioned itself to do so.

Step 4: Levies and Garnishments Begin

If no action is taken after lien and final notice stages, the IRS may begin levies. This is where things become immediately disruptive.
Levies can include:

• Freezing and taking funds from bank accounts
• Garnishing wages
• Seizing certain assets

Once levies start, financial flexibility shrinks fast—and stopping them becomes harder.

Step 5: The IRS Assumes You’re Choosing Not to Pay

The longer nothing happens, the more the IRS assumes the issue isn’t inability—it’s avoidance. That assumption changes how your case is treated and reduces flexibility.

Ironically, many taxpayers who truly can’t afford to pay qualify for relief—but only if they act before enforcement hardens the IRS’s position.

What Most People Don’t Realize

The IRS actually has options for people who can’t pay—but it rarely offers them proactively. Relief usually requires:

• Filing required returns
• Demonstrating financial hardship
• Requesting protection or structured resolution

Doing nothing guarantees none of that happens.

Final Thought: Inaction Is a Decision—And It’s the Worst One

If you owe the IRS and can’t afford to pay, ignoring the problem doesn’t make it disappear. It simply hands control to the IRS and allows the situation to escalate on its own timeline.

At A+ Tax Service, we help taxpayers interrupt this process, understand what the IRS is likely to do next, and take action before enforcement causes real damage.

If you’re overwhelmed by IRS debt and unsure what to do, contact A+ Tax Service today for a confidential consultation. Knowing your options early can prevent months—or years—of unnecessary stress.

07/06/2026

Employer-Provided Childcare Tax Credit – Did You Know?

Businesses that offer childcare benefits to employees may qualify for the Employer-Provided Childcare Tax Credit for some of the expenses involved. Eligible costs may include acquiring, constructing, or improving a childcare facility, operating an on-site childcare program, contracting with a qualified childcare provider, or paying for childcare resource and referral services.

Beginning in 2026, the credit generally equals 40% of qualified childcare expenditures (or 50% for eligible small businesses) plus 10% of qualified childcare resource and referral expenses. The maximum annual credit has also increased to $500,000, or $600,000 for eligible small businesses.

07/01/2026

Settling Tax Debt for Less: Offer in Compromise Explained

An Offer in Compromise (OIC) is one of the most well-known—and most misunderstood—IRS resolution options. While it can allow some taxpayers to settle their tax debt for less than the full amount owed, qualification is far more limited than most advertisements suggest.

At A+ Tax Service, we help taxpayers determine whether an Offer in Compromise is realistic and handle the process the right way.

What Is an Offer in Compromise?
An Offer in Compromise is an agreement where the Internal Revenue Service agrees to accept less than the full balance owed when it believes it cannot reasonably collect the full amount.
Approval is based on:

• Income and allowable living expenses
• Assets and available equity
• Ability to pay now and in the future
• Compliance with filing and payment requirements

It’s not about how much you owe—it’s about what the IRS believes it can collect.

Example: How an Offer in Compromise Works

Robert owed $126,000 in back taxes after several difficult years in business. Although he was working, his income barely covered basic expenses and he had little usable asset equity.

With professional assistance, Robert submitted a detailed financial analysis showing the IRS was unlikely to collect the full balance. The IRS accepted his Offer in Compromise, allowing him to settle the debt for a fraction of what he owed.

How We Can Help

Offers in Compromise are frequently denied when submitted incorrectly or without proper analysis. A+ Tax Service helps by evaluating eligibility, preparing accurate financial disclosures, submitting a strong offer, and communicating with the IRS throughout the process.

If you’re carrying IRS debt and wondering whether a settlement is truly possible, contact A+ Tax Service today for a confidential consultation to find out if an Offer in Compromise makes sense for your situation.

06/29/2026

Digital Asset Tax Reporting – Did You Know?

If you use a broker for digital asset transactions, such as selling, exchanging, or otherwise disposing of cryptocurrency or other digital assets, you may receive Form 1099-DA. Keep this form with your tax records, as you will need it to accurately report those transactions on your tax return.

06/22/2026

New IRS Portal for Reporting Fraud and Scams

The IRS has launched a new portal that makes it easier to report instances of tax fraud, identity theft, IRS impersonation and other tax-related scams. On the new webpage (link below), people and businesses can report:

- Fake IRS phone calls, emails, and text and social media messages. Scammers posing as government agents often threaten people with arrest unless they submit immediate payments, often in a specific format like gift cards. The IRS does not operate in this way.
- Suspected tax fraud, such as tax evasion schemes or illegal use of offshore accounts.
- Identity theft, which should always be reported to the IRS immediately, even if other government and law enforcement agencies know about the crime.
- Suspicious tax preparation practices, such as a paid tax preparer refusing to sign your return or altering your income figures.

Citizen reporting often plays a critical role in catching scammers and bringing them to justice. This new system makes the process of filing a report less confusing and much more convenient.

IRS Fraud Reporting Site: https://www.irs.gov/help/report-fraud