Daniel J. Brown, CPA, a local firm with
more than 25 years experience
Dan provides income tax preparation and
planning services and IRS representation.
In addition, he counsels clients on business start-ups, divorce,
estate issues, retirement and college planning, and
many other tax and financial matters.
By providing exceptional service, Dan builds lasting
relationships with clients. Many have
been returning since the firm was
established and children of clients have become clients
themselves. Many clients who move to other states or abroad continue to use his services.
Due to the Coronavirus pandemic, in-person meetings have been significantly curtailed. Zoom meetings are available. Documents can be dropped off at the office, emailed using our secure portal, sent by USPS, FedEx, or UPS, or faxed.
Understand Your Tax Opportunities and
Pitfalls
"I have seen people overpay taxes by
thousands of dollars
because
they made uninformed
decisions."
Dan wants clients to avoid making uninformed decisions and to pay no
more income tax than is required. After considering the circumstances of
clients, he offers tax
advice and
gladly answers their questions. The Tax Cut and Jobs Act (TCJA)
passed in December 2017, effective January 1, 2018, had a broad impact. It affected: (a)
small business owners, independent contractors, and landlords, (b)
divorce settlements, (c) employees with unreimbursed business expenses,
(d) charitable giving-especially for those over 70.5, and (e) the
deductions for state and local taxes (SALT) and mortgage interest.
TCJA nearly doubled the standard deduction and introduced the concept of Qualified Business Income (QBI). With
exceptions, only 80 percent of income classified as QBI is taxable.
TCJA also eliminated the personal exemption for taxpayers and their
dependents; in its place credits for dependents were introduced.
More recently, The SECURE Act and Coronavirus relief bills were passed. Go to the Tax Law Changes tab for more information.
Below are the types of questions Dan is asked:
- I am starting a new business, what expenses
can I deduct? Or, I will be an
independent contractor, what can I deduct? Should
I make estimated tax payments?
- With the higher standard deduction and cap on state and local taxes, I no longer get a tax savings from my charitable contributions. Is there a way I can deduct my contributions?
- How does Qualified Business Income affect me?
- In the past, I made nondeductible IRA contributions but never told my tax
preparer. Is that OK?
- I had a high income for many years
and made large retirement plan contributions; but I have not worked this past
year; are there tax
planning opportunities?
- As a self-employed person, how should I save for my children's college, for retirement? To pay for
medical expenses?
- I received a small inheritance. What will the income tax be?
- Should I convert my retirement accounts to a
Roth IRA?
- I changed jobs. Should I rollover my 401(k)
or use it to pay bills? Should I use it
for my child's tuition?
- Is my IRA ever required to file a tax return?
- My widowed mother named me executor of her estate; when
she passes, what should I do?
- I have a bank account overseas and pay
income tax on the earnings to the foreign country. Can I disregard it on my federal 1040?
- Should I sell my appreciated rental property or
do a like-kind exchange?
- Can I make a "back door" Roth IRA contribution?
- My income is too high for me to qualify for an
education credit; can my child take the
credit?
- I am a minister. How is my self-employment
tax calculated? What's covered by my
"housing allowance"?
- I play online poker and was told I should file a FinCEN form 114. What is this form and how do I file it?
- The divorce is not final and we are living
apart. Should we file jointly or
separately? Head of Household?
- My child's college tuition and fees were paid by
scholarships; am I disqualified from taking education credits?
- What are the advantages of deducting a home office? Am I eligible?
- As part of our estate planning, my spouse and I created a joint living trust. Should we file a tax return for
the trust? Since our assets are less than the personal exemption, when the first one passes, should the surviving spouse file a 706 estate tax return?
- Will my estate pay an estate tax when I pass?
- I receive money every month from my ex-spouse. Is
it taxable?
- What is the downside to financing my new business with my IRA?
- I exercised stock options and sold the stock; how do
I figure the taxable gain?
- Should I gift my house to my children now, while I am living, or pass it to them after I die?
- Does the elimination of the "stretch" IRA affect my estate planning?
Dan asks clients:
- Do you have a will or trust? Is it up to date? (If your trust does not consider "portability" and does not allow flexibility in determining how much of the estate should be put into a credit shelter trust, it is probably not up to date.)
- Have you reviewed your primary and contingent beneficiary designations on your life insurance and retirement accounts lately? Do not rely on your will for designating beneficiaries of these assets.
Appointments are available 9:30 am to 7:30
pm Monday through Thursday and 9:30 am to 3:30 pm Friday
and Saturday. Call
630 629-4400 to
schedule an appointment.
4 Miles South of Oakbrook Shopping Center
119 E Ogden Avenue, Suite 130
Hinsdale, Illinois 60521
630 629-4400
630 455-1190 fax
Email:
info@djbrowncpa.com