Recent storms, particularly Hurricane Milton, have dominated the headlines this week. While clean-up efforts are ongoing, the threat of storm surges and heavy rainfall continue to linger. Residents impacted by these storms are showing resilience and dedication to rebuilding, as shown by hashtags like #mountainstrong and #Tampastrong. For those looking to help, there are tax-exempt charities accepting Milton-specific donations.
The IRS has announced tax relief for individuals and businesses affected by Hurricane Helene and Hurricane Milton. The relief extends deadlines for filing and paying federal taxes until May 1, 2025. Additionally, victims of the natural disasters have been granted an extension for FBAR filings for the 2023 calendar year. It is important to seek advice from qualified professionals to avoid any potential issues related to disaster relief claims.
A deeper dive into tariffs explains how tariffs are imposed by countries to generate revenue or protect domestic industries. The history of tariffs in the U.S. dates back to the Tariff Act of 1789, which aimed to raise money and provide protectionism. However, tariffs can have unintended consequences, as seen with the Smoot-Hawley Tariff in 1930, which sparked a trade war and contributed to the Great Depression. Recent discussions around tariffs have been sparked by proposals, such as a 10% tariff on all imported goods.
In terms of tax filings and deadlines, the IRS has set specific due dates for individuals and businesses affected by recent natural disasters, allowing for extensions to file and pay taxes. Various tax conferences and events are also scheduled for the upcoming months, providing opportunities for tax professionals to network and stay updated on current tax issues.
Social Security and Supplemental Security Income benefits are set to increase by 2.5% in 2025 for over 72.5 million Americans. Social Security retirement benefits are designed to replace a percentage of preretirement income based on lifetime earnings. Additionally, the employee retention credit has seen increased scrutiny, leading to delays in refunds for businesses. Some employers have resorted to filing lawsuits against the IRS to claim their refunds.
