News from Washington IRS Provides Hurricane Milton Relief; May 1 Deadline Now Applies to Individuals and Businesses in All of FloridaThe IRS announced that taxpayers impacted by recent hurricanes in all of Florida now have until May 1, 2025 to file various federal individual and business tax returns, make tax payments, and make 2024 contributions […]
News from Washington IRS Announces Tax Relief for Victims of Hurricane Helene; Various Deadlines Postponed to May 1, 2025The IRS announced tax relief for individuals and businesses in parts of Florida that were affected by Hurricane Helene that began on September 23, 2024. These taxpayers now have until May 1, 2025, to file various federal […]
News from Washington DOL Files Last Minute Appeal of the Fiduciary Rule’s StayThe Department of Labor appealed to the Fifth Circuit Court to reverse a ruling from the District Court for Eastern Texas that temporarily suspended the implementation of the 2024 Retirement Security Rule, also known as the fiduciary rule. The move came three days […]
News from Washington ABA HSA Council Supports House-Approved Flexible Medical Coverage BillA House bill (H.R. 3800) that would codify an IRS notice to expand the list of preventive care benefits permitted to be provided by high deductible health plans passed by voice vote on September 17. Kevin McKechnie, executive director of the American Bankers Association’s […]
News from Washington Federal Bill Expands Eligibility to Include Veterinary Care ExpensesCongresswomen Deborah Ross (NC-02) and Claudia Tenney (NY-24) have introduced legislation aimed at broadening eligibility for veterinary care expenses that may be paid funds from HSAs and health FSAs. The bill would allow pet owners to use up to $1,000 from their HSA or […]
News from Washington FDIC Consumer News: Health Savings AccountsIf you are enrolled in only one health insurance plan and it has a high deductible, you are probably eligible to open an HSA, a type of savings account that lets you set aside money on a pre-tax basis to pay for qualified medical expenses. If you […]
News from Washington IRS Signs Off on Employer’s Matching Contribution Allocation Proposal, Outside the 401(k) PlanThe IRS has blessed an arrangement that will let workers allocate their employer’s annual retirement plan matching contribution to any one of four different accounts, including a 401(k) account, a Health Savings Account, an educational assistance program account, or a […]
Compliance Corner Can You Reimburse Your Ex-Spouse’s Qualified Expenses Tax-Free?A family-court judge can order you to assume partial or full responsibility for an ex-spouse’s future medical expenses. But that judge cannot override federal tax law. HSA distributions for your ex-spouse’s qualified medical expenses are included in your taxable income and subject to a 20% penalty […]
Compliance Corner These Common HSA Mistakes Can Cost ClientsClients eager to use the benefits of HSAs must steer clear of all-too-common mistakes that could bring large tax payments or big penalties, according to experts. Potential mishaps include distributing money toward costs that don’t fit the IRS definition of “qualified medical expenses” and planning for a […]
News from Washington Are District Court Rulings the ‘Final End’ For DOL’s Fiduciary Rule?Experts say the likelihood of the Labor Department’s Retirement Security Rule surviving recent federal district court losses is dim. “The standard for a stay is relevantly significant here, and at this point, it seems like the courts are very dubious, to say […]