Check out our March newsletter!
WHAT KIDS AND TAXES HAVE IN COMMON And Why They Both Require a Plan!
Let’s be honest — kids are incredible. Their energy, curiosity, and the way they see the world with fresh eyes every day are all very special. As parents, we get front-row seats to watching them grow, make mistakes, learn, and become unique individuals. That’s why Absolutely Incredible Kids Day, celebrated on March 20, is such a great reminder to take a step back and appreciate just how amazing kids really are. Kids each have their own strengths, quirks, and ways of figuring things out. As parents, our job isn’t to mold them into a single idea of “success” but to guide them, let them learn, and support them along the way. One of the most important lessons my wife and I learned early on was the need for solidarity. We knew that if one of us made a decision, we had to stand by it together — not against the child, but for the good of the family. Otherwise, kids quickly figure out how to work the system and go to one parent when they don’t get the answer they want from the other. And trust me, they will test those limits! Another strategy we used was keeping surprises a surprise. We never told our kids about big plans in advance. In February 2012, we went on a cruise, and the kids thought they were just tagging along on a business trip. We drove from Panama City to New Orleans and spent the night there. The next morning, we told them, “Dad’s meeting is on a boat.” Their eyes lit up as they realized we were about to set sail on a full-blown family cruise. This approach wasn’t just about keeping surprises fun — it was about managing expectations. Life happens, and plans change. We didn’t want to
I also love that no two children are the same. They each push boundaries in their own way. I’ve always said, “I’ll do anything for my kids, but I won’t do everything for them.” Because at the end of the day, they have to learn. Kids need space to make decisions, take risks, and even fail sometimes. If they don’t, how will they ever know how to handle life’s challenges? Some lessons are only learned through experience, and as much as we want to protect them, sometimes a little struggle leads to big growth.
“This might sound like an odd comparison, but parenting and working with the IRS have something in common ...”
Now, this might sound like an odd comparison, but parenting and working with the IRS have something in common: They both require a unified front. When you’re dealing with taxes, audits, or financial challenges, you can’t face them alone. You need a partner who will stand with you, guide you through the process, and help you make the best decisions for your future. It’s the same way with kids — we can’t do it all for them, but we can stand beside them and give them the tools they need to succeed. So, on Absolutely Incredible Kid Day, let’s celebrate all the amazing things that make kids who they are: their curiosity, resilience, and, yes, even their stubbornness. Because those little personalities we guide today will shape the incredible adults they become tomorrow. Now, if only guiding clients through tax season were as fun as surprising kids with a cruise! -Ben Golden
MAR 2025
hear weeks of, “When are we leaving? When are we going?” only for something unexpected to throw it all off. By waiting until the moment was real, we saved ourselves (and them) a lot of unnecessary disappointment.
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What’s not to love about dogs? Companionship, loyalty, unconditional love, and, of course, pure entertainment are all qualities that make living with a dog desirable. But aside from the apparent reasons why pups make great additions to our lives, many people credit their lives to their canine buddies. A recent episode of “Ink Master” called “At Your Service” centered around clients paying homage to their service dogs. The episode premiered on the streaming service Paramount+ on Nov. 13, 2024. If you’re unfamiliar with the show, “Ink Master” is a competition series for tattoo artists to showcase their artistic skills on “human canvases” in various themed challenges. Each week, contestants are eliminated until one is crowned the winner, the Ink Master. Throughout the show’s 16 seasons, contestants have taken on outlandish tattoo themes. Still, for this particular episode, the theme took on greater sentimental value, not just for the clients but also for the contestants. Each client presented their tattoo artist with a portrait of their service dog, and it was then up to the competing artist to bring that portrait to life. As the clients introduced their dogs, they gave their artists the backstory of their lives and how their service dogs changed (and even saved) their lives. Many of the dogs’ owners suffer from conditions such as impaired vision or blindness, post-traumatic stress disorder (PTSD), limited mobility, and chronic pain, which can be debilitating if not treated. With these conditions, canine companions were imperative to their overall quality of life. One of the “Ink Master” guests, Mike Underwood, spoke on how his service dog, Whiskey, helped him through seizures caused by PTSD and further explained how Whiskey was trained in nightmare alerts, medication retrieval, and seizure detection. Another guest on the episode, Alexandra Chauran, suffered from schizophrenia and was a breast cancer survivor. She wanted a color portrait of her dog, Nipper. Without Nipper, she explained, she had a difficult time with hallucinations as well as differentiating when a real person approached her or not. “He gives me back my independence,” Chauran explained. You can’t help but be moved as the clients’ stories unfold, and some of the competing artists were even moved to tears. Upon airing, an official clip of the emotional episode gained traction on social media platforms, leading guests from the show to chime in and discuss their experience on the show. ‘Ink Master’ Helps Service Dog Owners Pay Homage to Their Companions AT YOUR SERVIC
Self-Employed? Mistakes That Could
Being your own boss is great — you set your own schedule, work in your pajamas if you want, and answer to no one but yourself. But when tax season rolls around, that freedom comes with a different set of responsibilities. After all, taxes for the self-employed can be tricky and confusing.
So, if you’re running your own business, freelancing, or side hustling your way to success, make sure you avoid these costly tax mistakes.
Forgetting to Pay Quarterly Taxes Unlike normal employees who have taxes withheld from their paychecks, you must pay estimated taxes every quarter. If you skip them, you could face penalties and interest, which means paying more than necessary. Mark your calendar — these deadlines are no joke!
Mixing Business and Personal Finances That coffee you bought during a “business meeting” with yourself likely isn’t deductible. Keeping separate business and personal accounts makes tax time much easier and keeps the IRS from questioning all those “work expenses.”
NOT YOUR MOM’S CORNED BEEF AND CABBAGE Inspired by AllRecipes.com
“Whiskey will only be here for 12–15 years. This tattoo is a lifetime. Thank you doesn’t seem enough,” Underwood expressed on his Instagram page.
“That’s Vespa and me. She has saved my life in more ways than one and has given me independence despite my prognosis,” said another “Ink Master” guest, Connor Downer. To watch this heartwarming episode and more competitions featuring top tattoo artists battling it out in head-to-head challenges, check out “Ink Master” on Amazon Prime, Pluto TV, and Paramount+.
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WIN OF THE MONTH Turning a Costly State Tax Nightmare Into a 99% Victory
Failing to Keep Good Records Receipts tucked away in a shoebox aren’t a great strategy. If you ever get audited (knock on wood), you’ll need solid proof of expenses. Use an app, spreadsheet, or accounting software to track everything. Your future self will thank you. Missing Out on Deductions You’d be surprised at how many things you are able to legally deduct: home office expenses, internet, phone bills, and even some travel expenses. Don’t leave money on the table! But remember, if you’re claiming it, you need to be able to prove it. Misclassifying Yourself or Others If you’re hiring contractors, make sure they’re actually independent contractors and not employees. Misclassifying workers can lead to huge IRS penalties, and that’s not exactly the kind of surprise you want. Failing to Save for Self-Employment Taxes When you work for yourself, you don’t just pay income tax; you also owe self-employment Avoid These Tax d Cost You Big Time
CASE SNAPSHOT
Client: School Teacher Type of IRS Issue: Personal Income Tax Tax Year in Question: 2021
IRS Claimed Liability: $88,829
Savings Secured: $88,294 (99.4%!)
tax, which covers Social Security and Medicare. If you don’t plan ahead, you might end up writing a check to the IRS.
At IRS Trouble Solvers, we take pride in delivering real solutions for taxpayers facing overwhelming tax liabilities. This month, we’re highlighting a client who came to us in distress, burdened with a massive tax assessment — one that was never supposed to exist in the first place. The Challenge Our client, a dedicated schoolteacher with a small side business selling educational materials online, was blindsided by a state audit. Due to incorrect tax filings by a previous preparer, the state assessed her with a $88,829 tax liability for General Excise (GE) taxes — a tax similar to a sales tax. To make matters worse, delays in gathering and submitting documentation resulted in multiple levies on her account. Our Strategy Our team conducted a deep dive into her records, meticulously analyzing the taxability of her sales. We identified that the vast majority of her revenue was not subject to GE taxes. However, proving this to the state required patience, persistence, and extensive documentation. The Result Through careful audit reconsideration and strategic advocacy, we successfully reduced her liability by 99% — saving her $88,294! Even better, she was able to recover previously levied funds, turning what once seemed like a financial catastrophe into a major win. The Takeaway This case highlights the importance of working with experienced professionals who understand state and federal tax complexities. If you or your clients are facing unexpected tax issues, let IRS Trouble Solvers help navigate the process and fight for the best possible outcome.
INGREDIENTS
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1 (4 lb) corned beef brisket with spice packet
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3 celery stalks, cut into 2-inch pieces
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3 qts water
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1 tsp salt
1 onion, quartered
2 lbs red potatoes, halved 1 small head of cabbage, cut into eighths
3 carrots, cut into large chunks
1. In a large pot or Dutch oven over medium-high heat, combine corned beef, spice packet contents, water, onions, carrots, celery, and salt. Bring to a simmer (skimming off any foam on top). 2. Cover pot, reduce to low heat, and let simmer for 3 hours until meat is fork tender. 3. Add potatoes to the pot and let simmer uncovered for 30 minutes or until potatoes are al dente. 4. Add cabbage along the edges of the meat and on top. Cover and let simmer until cabbage is tender, 20–30 minutes. 5. Place meat on a cutting board and let rest for 10–15 minutes. After meat has cooled, slice against the grain. 6. Add to a large serving bowl, ladle vegetables and broth over top, and serve. DIRECTIONS
Have a tax problem that needs solving? We’re just a call away.
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1 Kids Teach Us More Than We Teach Them 2 ‘Ink Master’ Tattoo Artists Bring Dog Portraits to Life INSIDE THIS ISSUE
Self-Employment Tax Traps to Avoid
3 Not Your Mom’s Corned Beef and Cabbage Win of the Month 4 How the DOL’s Final Rule Protects Retirement Investors
THE ‘FINAL RULE’ TRANSFORMS WHAT IT MEANS TO BE A FIDUCIARY A New Era for ERISA
For more than 14 years, the U.S. Department of Labor has been trying to determine a new definition of a “fiduciary” under the Employee Retirement Income Security Act (ERISA). A fiduciary provides investment advice for a fee to employee benefit plans. Under ERISA, someone is a fiduciary if they have control over managing or using a plan’s assets, provide investment advice for a fee, and have responsibility for managing the plan. Since 1975, these discussions were only considered “investment advice” if they adhered to a five-part test. However, this past September, the Department of Labor released new regulations called the Final Rule that redefines what it means to be an investment advice fiduciary.
definition of who can be considered a fiduciary. Someone is a fiduciary if they regularly provide investment recommendations and advice to retirement investors for a fee. That advice must be based on the investor’s needs and reflect expert judgment that serves the investor’s best interests. They must also state that they are acting as a fiduciary when giving advice; however, if you’ve previously received one-time advice, that could now be considered fiduciary advice. That’s a lot of information to swallow, and by now, you’re probably wondering how this will affect the average person. In most cases, these changes will only affect those acting as fiduciary advisors and retirement investors, including participants, beneficiaries, IR owners (Ingersoll Rand Inc.), and anyone else involved with an ERISA plan. Through the Final Rule, you should receive better
advice that puts your interests first, providing more transparency about recommendations and any fees involved. It should also create greater accountability for advisers, brokers, insurance agents, and anyone else acting as a fiduciary. All in all, this is a great change for those who interact with fiduciaries. You can rest assured knowing the advice you receive will benefit you and your investments.
With this recent change, the five-part test goes out the window. The Final Rule expands the
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