Kathy J. Wills, CPA

09/01/2026

Good news! IRS has implemented a new program available for 2025 returns. They will automatically waive certain penalties for failure to file, failure to pay, and failure to deposit tax IF you have been current with all of your filings and payments for the last 3 years.

08/25/2026

Identity theft is a continuous problem. I’ve made numerous posts about it. Here is another article identifying the states with the highest identity theft.

ConsumerAffairs, an online consumer news and review platform, looked at state-level IRS data covering processing year 2025 and evaluated states across the following two metrics: confirmed identity theft rate and unconfirmed identity theft rate.

08/18/2026

IRS has raised the business mileage rate to $.76 per mile beginning July 1st, 2026, up from $.725 in January 2026. This was done due to the inflated oil prices in second quarter 2026, despite the fact that overall inflation has dropped to 3.5% in June.

08/11/2026

The maximum amount to be contributed to an HSA will increase in 2027. An individual account can contribute $4,500 beginning in 2027, while a family account can contribute $9,000. The parameters of a high deductible plan (required to contribute to an HSA) will also increase. Refer to the article for details.

The IRS on Friday released its annual inflation-adjusted amounts for health savings accounts for calendar-year 2027, with across-the-board increases.

08/04/2026

Mortgage insurance premiums can once again be deducted as an itemized deduction on Schedule A beginning in 2026. This deduction has been added and taken away more than once over the last 25 years

07/28/2026

You cannot deduct losses from a hobby on your tax return. You must have a profit motive and pursue profit from your activities. If IRS challenges, there are 9 factors that courts have looked at; first and foremost - do you conduct your activity as a business.

07/21/2026

‘Trump Accounts mostly function like an individual retirement account, with some exceptions, and can receive contributions from family, friends or employers.’ It is one of the top ways for kids to save. You should check it out.

There’s a strategy that could help turn these new investment accounts into tax-free vehicles in retirement, some experts say.

07/14/2026

IRS correspondence is categorized by type; a number in the upper right corner identifies the notice type. If you have received a CP53E notice, be sure it is legitimate, because fake ones have also been circulating. This notice asks to verify your bank information. It could be legit, but make sure! Check your online IRS.gov account and see if the notice appears before responding.

07/07/2026

My CPA daughter-in-law tells the story of her/their venture into real estate and the essential need for good bookkeeping.

Episode #731*Real estate bookkeeping* might not be the most _thri...

06/30/2026

Interesting development in retirement savings; there is currently a credit available to low income taxpayers, the saver’s credit, who put money aside in a 401k or IRA plan. In 2027, the saver’s credit will be replaced with the government contributing up to $2,000 to your established account. This measure will go far to assist with saving and the growth of funds. Encourage youth to start an account. Time is the best friend of investment growth and they are likely to have income levels to qualify for the credit.