TAN Financial Services

2025 Tax Season Kickoff!

Terika Carney — Mon, 26 Jan 2026 02:51:37 +0000

As we begin the 2025 tax season, TAN Financial Services is excited to partner with you once again to ensure a smooth, accurate, and maximized filing experience. Several important tax law updates take effect for the 2025 tax year, and many of them offer meaningful opportunities for savings. Our team is here to help you take full advantage of every benefit available.

Key 2025 Tax Changes for Individuals

Higher standard deductions: Standard deduction amounts have increased to $31,500 for married couples filing jointly, $15,750 for single filers, and $23,625 for heads of household.
New exclusions for tips and overtime: Qualified overtime income is exempt up to $12,500 (or $25,000 for joint filers), and tips are exempt up to $25,000, with phaseouts beginning at $150,000 of income (or $300,000 for joint filers).
Additional deduction for seniors: Taxpayers age 65 and older may claim an extra $6,000 deduction ($12,000 for qualifying couples), available from 2025–2028 regardless of whether you itemize.
Higher SALT deduction cap: The state and local tax deduction cap has been temporarily raised to $40,000 for most filers, which may make itemizing more beneficial for some households.
Energy‑related credits ending: Credits for energy‑efficient home improvements and certain electric vehicle purchases will sunset after 2025 or after September 30, 2025, depending on the credit.

These changes may create new opportunities to reduce your taxable income or increase your refund. If you would like to schedule an appointment, please request within your portal account.

Client Portal Access

For secure document uploads, appointment scheduling, and real‑time updates, please use our client portal. Please upload documents as you receive them, this will streamline your preparation process.

https://tanfs.securefilepro.com/portal/#/login

$25 Referral Program

We appreciate your trust in TAN Financial Services. As a reminder, for every new client you refer who completes a tax return with us, you’ll receive a $25 referral credit. There is no limit—refer as many friends and family members as you’d like.

Let’s Get Started

We encourage you to gather your tax documents early and reach out with any questions. Our team looks forward to supporting you through a successful 2025 filing season.

Tax Season Has Begun!

Terika Carney — Tue, 24 Jan 2023 00:18:12 +0000

Greetings all! We hope this letter finds you and your family well! As another year has end, we are here to assist you navigate an ever changing financial and tax landscape.

Let’s highlight a few of the changes in the tax landscape for this tax season:

Sunset of Covid-19 Credits and Deductions

The increased Child Tax Credit has not been extended. For this tax season, it will be limited to dependents under the age of 16 and capped at $2,000 per qualifying child. The Child and Dependent Care Credit has reverted to its pre-pandemic maximum of $2,100 in 2022. Charitable Deductions above-the-line for up to $300 for single filers and $600 for married couples filing jointly was not extended. For 2022, charitable contributions will only be deductible for itemized filers.

Higher Standard Deductions

When you pay taxes, you have the option of taking the standard deduction or itemizing deductions. For the 2022 tax year, the standard deduction has increased to:

Filing Status	2022
Single	$12,950
Married Filing Jointly	$25,900
Married Filing Separately	$12,950
Head of Household	$19,400

Our firm takes security seriously and we think you should as well. Fraudsters continue to refine their techniques and tax identity theft still is a significant concern. Beware if you:

Receive a notice or letter from the Internal Revenue Service (IRS) about a tax return, tax bill or income that does not apply to you.
Get an unsolicited email or another form of communication asking for your bank account number or other financial details or personal information.
Receive a robocall insisting you must call back and settle your tax bill.

Make sure you are taking steps to keep your personal financial information safe. Let us know if you have questions or concerns about how to go about this.

Busy Season Updates

For the benefit of both you, our valued clients, and our team, we will continue to also perform services entirely contactless through our virtual office. We effectively use virtual tools, such as Zoom teleconferencing, our client-friendly 256-bit encrypted client portal, and our redesigned and informative website. Our commitment is still to provide the exceptional professional service you deserve. You can access the client portal via our website, www.tanfs.com, or clicking portal access.

Our secured portal can be accessed on your computer, tablet or mobile device. Simply login in or use the guest exchange, take a picture of your tax documents, and upload… we will take care of the rest! Please contact our office today by using our contact form, emailing (info@tanfs.com), or calling (980) 434-2044 if you would like to set up a year-end consultation.

We look forward to connecting with you soon!

Sincerely,

TFS Team

Are You Ready For Tax Season?

Terika Carney — Wed, 19 Jan 2022 23:43:00 +0000

We hope this correspondence finds you and your family well! We know this now two-year long pandemic has brought challenges and disruptions that may have significantly affected your personal and financial situations – COVID-19, economic relief measures, new tax laws and political shifts. We look forward to discussing your tax situation so we can develop a customized plan that works to maximize your benefit.

Over the past two years many tax provisions were implemented under the Coronavirus Aid, Relief and Economic Security (CARES) Act, the American Rescue Plan Act of 2021, and other the year-end coronavirus relief legislation, known as the Consolidated Appropriations Act, 2021 (H.R. 133), all were aimed to help individuals and businesses deal with the COVID-19 pandemic and its ongoing economic disruption.

Here are some key considerations for this tax season:

Enhanced Child Tax Credit

The American Rescue Plan increased the child tax credit to $3,000 for families with kids 17 and under for 2021, with an extra $600 for children under age 6. Like other credits the amount is phased out depending on adjusted gross income. To qualify for the full credit, single filers need a modified adjusted gross income of less than $75,000 and married couples filing jointly must earn under $150,000.

Charitable Deductions

Similar to 2020, individuals who do not itemize their deductions can take an above-the-line charitable deduction of up to $300 ($600 for married filing jointly). Such contributions must be made in cash and made to qualified organizations.

Student Loan Relief

As part of the COVID relief bill, beginning in 2021, loan cancellation for post-secondary education is no longer considered taxable income. Ad if your employer helped you pay down your student debt, you can exclude up to $5,250 from taxable income.

Virtual currency/cryptocurrency

Virtual currency transactions are becoming more common. There are many different types of virtual currencies, such as Bitcoin, Ethereum and Ripple. The sale or exchange of virtual currencies, the use of such currencies to pay for goods or services or holding such currencies as an investment generally has tax consequences. We can help you understand those consequences.

Fraudulent activity remains a significant threat

Our firm takes security seriously and we think you should as well. Fraudsters continue to refine their techniques and tax identity theft still is a significant concern. Beware if you:

Receive a notice or letter from the Internal Revenue Service (IRS) about a tax return, tax bill or income that does not apply to you
Get an unsolicited email or another form of communication asking for your bank account number or other financial details or personal information
Receive a robocall insisting you must call back and settle your tax bill

Make sure you are taking steps to keep your personal financial information safe. Let us know if you have questions or concerns about how to go about this.

Our secured portal can be accessed on your computer, tablet, or mobile device. Simply login in or use the guest exchange, take a picture of your tax documents, and upload… we will take care of the rest!

Please contact our office here or call 980.434.2044 if you would like to set up a year-end consultation.

We look forward to connecting with you soon!

Important Changes to the Child Tax Credit

Terika Carney — Thu, 01 Jul 2021 02:24:00 +0000

Recently, there were changes made to the child tax credit that will benefit many taxpayers. As part of the American Rescue Plan Act that was enacted in March 2021, the child tax credit:

Amount has increased for certain taxpayers
Is fully refundable (meaning you can receive it even if you don’t owe the IRS)
May be partially received in monthly payments

The new law also raised the age of qualifying children to 17 from 16, meaning some families will be able to take advantage of the credit longer.

The IRS will pay half the credit in the form of advance monthly payments beginning July 15. Taxpayers will then claim the other half when they file their 2021 income tax return.

Though these tax changes are temporary and only apply to the 2021 tax year, they may present important cashflow and financial planning opportunities today. It is also important to note that the monthly advance of the child tax credit is a significant change. The credit is normally part of your income tax return and would reduce your tax liability. The choice to have the child tax credit advanced will affect your refund or amount due when you file your return. To avoid any surprises, please contact our office.

Qualifications and how much to expect

The child tax credit and advance payments are based on several factors, including the age of your children and your income.

The credit for children ages five and younger is up to $3,600 –– with up to $300 received in monthly payments.
The credit for children ages six to 17 is up to $3,000 –– with up to $250 received in monthly payments.

To qualify for the child tax credit monthly payments, you (and your spouse if you file a joint tax return) must have:

Filed a 2019 or 2020 tax return and claimed the child tax credit or given the IRS your information using the non-filer tool
A main home in the U.S. for more than half the year or file a joint return with a spouse who has a main home in the U.S. for more than half the year
A qualifying child who is under age 18 at the end of 2021 and who has a valid Social Security number
Income less than certain limits

You can take full advantage of the credit if your income (specifically, your modified adjusted gross income) is less than $75,000 for single filers, $150,000 for married filing jointly filers and $112,500 for head of household filers. The credit begins to phase out above those thresholds.

Higher-income families (e.g., married filing jointly couples with $400,000 or less in income or other filers with $200,000 or less in income) will generally get the same credit as prior law (generally $2,000 per qualifying child) but may also choose to receive monthly payments.

Taxpayers generally won’t need to do anything to receive any advance payments as the IRS will use the information it has on file to start issuing the payments.

IRS’s child tax credit update portal

Using the IRS’s child tax credit and update portal, taxpayers can update their information to reflect any new information that might impact their child tax credit amount, such as filing status or number of children. Parents may also use the online portal to elect out of the advance payments or check on the status of payments.

The IRS also has a non-filer portal to use for certain situations.

Let us help you.

With any tax law change, it’s important to revisit your full financial roadmap. We can help you determine how much credit you may be entitled to and whether advance payments are appropriate. How you choose to receive the credit (partially advanced via monthly payments or solely on your next year’s return) could have many impacts to your financial plans.

Please contact our office today at 980.434.2044 or info@tanfs.com to discuss your specific situation. As always, planning ahead can help you maximize your family’s financial situation and position you for greater success.

Tax Season Readiness

Terika Carney — Wed, 20 Jan 2021 14:24:00 +0000

We hope you and your family are well! This past year brought challenges and disruptions that may have significantly impacted your personal and financial situations – COVID-19, economic relief measures, new tax laws and political shifts. We are here to help you take a fresh look at the health of your tax and accounting well-being. We look forward to discussing your tax situation so we can develop a customized plan. In the meantime, here is a look at some issues to consider for year-end tax preparation.

Key tax considerations related to COVID-19

Many tax provisions were implemented under the Coronavirus Aid, Relief and Economic Security (CARES) Act and the year-end coronavirus relief legislation, known as the Consolidated Appropriations Act, 2021 (H.R. 133), both were aimed to help individuals and businesses deal with the COVID-19 pandemic and its ongoing economic disruption.

Economic impact payments (EIP)

Eligible individuals received first round payments of $1,200 ($2,400 for joint filers) plus $500 for each qualifying child, with payments phased out based on adjusted gross income. A second round of payments were sent to eligible individuals at the end of the year, of $600 ($1,200 for joint filers) plus $600 for each qualifying child. The payments are treated as advance refunds of a 2020 tax credit. If you received an EIP, you should have received IRS Notice 1444, Your Economic Impact Payment. Keep this for record-keeping purposes.

Medical expense deduction

The threshold for taxpayers to qualify for the medical expense deduction was going to be 10% of adjusted gross income beginning in 2021 but, with the recent legislation, it now permanently

remains at 7.5%. Thus, making it easier for more taxpayers to take advantage of this tax deduction.

Charitable deductions

Unique to 2020, individuals who do not itemize their deductions can take an above-the-line charitable deduction of up to $300. Such contributions must be made in cash and made to qualified organizations.

Retirement accounts

You can take up to $100,000 in coronavirus-related distributions from retirement plans through the end of the year without being subject to the 10% additional tax for early distributions. Additionally, required minimum distributions (RMDs) are temporarily suspended for 2020.

Fraudulent activity remains a significant threat

Our firm takes security seriously and we think you should as well. Fraudsters continue to refine their techniques and tax identity theft remains a significant concern. Beware if you:

Receive a notice or letter from the Internal Revenue Service (IRS) regarding a tax return, tax bill or income that does not apply to you
Get an unsolicited email or another form of communication asking for your bank account number or other financial details or personal information
Receive a robocall insisting you must call back and settle your tax bill

Make sure you are taking steps to keep your personal financial information safe. Let us know if you have questions or concerns about how to go about this.

Virtual currency/cryptocurrency

Virtual currency transactions are becoming more common. There are many different types of virtual currencies, such as Bitcoin, Ethereum and Ripple. The sale or exchange of virtual currencies, the use of such currencies to pay for goods or services or holding such currencies as

an investment generally has tax consequences. We can help you understand those consequences.

Busy Season Updates

As previously noted, due to several factors, most notably the Covid-19 pandemic, we have transformed to an entirely contactless and virtual office. This was done for the benefit of both you, our valued clients, and our team. We have effectively utilized virtual tools, such as Zoom teleconferencing, our client-friendly 256-bit encrypted client portal, and our redesigned and informative website. Our commitment remains to provide the exceptional professional service you deserve. You can access the client portal via our website, www.tanfs.com, or clicking portal access. Our secured portal can be access on your computer, tablet or mobile device. Simply login in or utilize the guest exchange, take a picture of your tax documents, and upload… we will take care of the rest!

Whether it’s working toward retirement or getting answers to your tax and financial questions, we are here for you. Please contact our office today by email (info@tanfs.com) or call 980.434.2044 if you would like to set up a year-end consultation. We look forward to connecting with you soon!

Year-End Coronavirus Relief Act – Summary Tax Provisions

Terika Carney — Wed, 13 Jan 2021 02:20:00 +0000

As the coronavirus (COVID-19) continues to affect local communities and global economies, our firm remains committed to serving your tax and financial planning needs. As part of this commitment, we want to make you aware of key tax provisions impacting individuals contained in the year-end coronavirus relief legislation, known as the Consolidated Appropriations Act, 2021 (H.R. 133), that was signed into law on Dec. 27, 2020.

Please contact our office to discuss your circumstances in more detail.

Additional economic impact payment/recovery rebate

Like the first round of economic impact payments that taxpayers received in mid-2020, the year-end legislation provides a new economic impact payment in the amount of $600 per eligible family member ($1,200 if you file a joint return with your spouse). And, each qualifying child will also receive $600. However, the payment amount is reduced based on your income. The impact payment phases out starting at $75,000 of income ($112,500 for heads of household and $150,000 for married taxpayers filing jointly) at a rate of $5 per $100 of additional income.

The IRS and Treasury have begun issuing these payments, but it will take several weeks or longer for all qualifying taxpayers to receive their payments. And, for some taxpayers, they may need to file their 2020 tax return in order to claim and receive the correct payment. You may check the status of your economic impact payments using the IRS’s Get My Payment tool. And, please contact our office if you have other questions.

Medical expense deduction

The new legislation should make it easier for more taxpayers to take advantage of the medical expense deduction. The threshold for taxpayers to qualify was going to be 10% of adjusted gross income beginning in 2021 but, with the recent legislation, it now permanently remains at

7.5%. Please contact our office if you would like our assistance with calculations to determine if this deduction is beneficial to you.

Charitable contributions

The legislation extends the $300 charitable deduction (for cash donations) for taxpayers who do not itemize (known as an above-the-line deduction). It also increases the maximum amount that may be deducted on 2021 tax returns to $600 for married couples filing jointly. Keep in mind that for 2020 tax returns, $300 is the maximum allowed per tax return, regardless of filing status.

Other tax provisions

Here are a few more tax law changes that may interest you:

The law allows residents of qualified disaster areas to take a distribution of up to $100,000 from a qualified retirement plan or individual retirement account (IRA) without penalty.
The mortgage insurance premium deduction is extended by one year (through 2021).
If you are a contractor or consultant, there are many tax-favorable elements in the new law. Some important changes include a 100% business expense deduction for meals (rather than the prior 50%) if the expense is for food or beverages provided by a restaurant. This is a temporary provision effective for expenses incurred after Dec. 31, 2020 and expires at the end of 2022. If a small business was able to take advantage of the Paycheck Protection Program (PPP), the new law clarifies that any amount received from a PPP loan that is forgiven is not considered income for tax purposes. Deductions are also allowed for otherwise deductible expenses paid with the proceeds of a forgiven PPP loan. The new law opens the program again and allows certain businesses to receive a second draw of funds.

There are other tax changes contained in the year-end legislation that could also apply to you. Please contact our office if you would like to discuss your situation further.

Our commitment to you

Whether you have tax or financial planning questions or need advice on ways to navigate the new tax laws, we are here for you. If you have any questions or concerns, please do not hesitate to contact us at 980.434.2044 or email: info@tanfs.com

During this unpredictable and challenging time, it’s more important than ever to stay connected. We’re in this together and our thoughts go out to all who have been impacted by this unprecedented situation.

Rest assured, we are here to help.

Get Ready Now to File Your 2020 Taxes

Terika Carney — Thu, 24 Dec 2020 09:21:00 +0000

April 15th is just around the corner. Before the rush begins it is helpful to start preparing now.

Thankfully the IRS has compiled a list of actions you can start today so that you are well prepared.

Check withholding – Since federal taxes operate on a pay-as-you-go basis, you need to pay most of your tax during the year as you earn income. It’s a good idea for everyone to do a Paycheck Checkup to make sure you’re not having too little withheld, which could lead to a smaller than expected refund or even a tax bill.
Organize tax records – Develop a record keeping system – electronic or paper – that keeps your important info together.
Identify filing and dependent status – Your filing status is used to determine filing requirements, standard deduction, eligibility for certain credits, and the correct tax.
Locate needed information and documents – These include social security cards, birth dates, wage and earning statements, interest and dividend statements from banks, a copy of last year’s federal and state returns, bank account routing and account numbers for direct deposit, the total paid for daycare expenses and the daycare provider’s tax number, Form 1095-A, Health Insurance Marketplace Statement.

Visit www.irs.gov to help in planning for the upcoming tax season.

New Credits and Deductions for 2020 Tax Filings

Terika Carney — Sun, 20 Dec 2020 21:20:00 +0000

It is time to start planning for the upcoming 2020 Tax filing season. This year there are a number new credits to claim and deductions to take. These are important to understand as they can affect the size of your refund or payment.

Take a look at some of the new claims and deductions:

Recovery Rebate credit – available for those who met eligibility requirements in 2020 but either
- didn’t receive the 2020 Economic Impact Payment.
- is single and their payment was less that $1,200.
- is married, filed jointly in 2018 or 2019 and their payment was less than $2,400.
- didn’t receive $500 for each qualifying child
Refund interest payment
- People who received a federal tax refund in 2020 may have been paid interest. Interest payments are taxable and must be reported on 2020 federal income tax returns.
New charitable deduction allowance
- Taxpayers who don’t itemize deductions can take a charitable deduction of up to $300 for cash contributions made in 2020 to qualifying organizations.

For information on these new items and other refund-related reminders, visit irs.gov.

Is there an age limit to claiming a child as a dependent?

Terika Carney — Sun, 18 Oct 2020 21:22:00 +0000

To claim a child as a dependent the child must either be:

under age 19 at the end of the year and younger than you (or your spouse if filing jointly)
under age 24 at the end of the year, a student, and younger than you (or your spouse if filing jointly)
any age if permanently and totally disabled.

In addition to qualify as a dependent the child would have to pass the following tests:

Dependent taxpayer test
Citizen or resident test, and
Joint return test

The qualifying tests and more information can be found at www.irs.gov.

COVID-19 Response Letter to Our Clients

Terika Carney — Wed, 01 Apr 2020 00:42:00 +0000

To Our Valued Clients,

As the coronavirus (COVID-19) continues to affect local communities and global economies, you may have concerns about your financial well-being. Or you may be wondering about how recently passed legislation impacts you. We’re providing a high-level summary of some of the key provisions impacting individuals and recommend discussing your particular circumstances with us in more detail.

Relief available

There are several recently enacted tax changes and new or expanded benefits that might be helpful to you.

Income tax provisions:

The IRS has provided broad relief and extended the filing and payment deadlines to July 15, 2020. However, we continue to work on filing returns as soon as possible.
Estimated tax payments due on or after April 1, 2020 and before July 15, 2020 can wait until July 15 to make the payment without penalty.
New York has extended the tax filing and payment deadlines identically to the IRS.
North Carolina has extended the tax filing deadline to July 15, 2020. However, tax liability payment deadline remains on April 15, 2020. While North Carolina has suspended the late payment penalty until July 15, 2020, interest on unpaid tax liability will accrue after April 15, 2020.

Recovery rebates:

Payments to individuals of $1,200 ($2,400 for joint filers) plus $500 for each qualifying child are expected to be delivered around mid-April.
The recovery rebate begins to phase out for taxpayers with adjusted gross income (AGI) above $150,000 for joint filers, $112,500 for heads of households and $75,000 for other individuals.
The payment is not taxable.

Retirement accounts:

Through the end of the year, individuals who are under 59 ½ years old can take up to $100,000 in coronavirus-related distributions from retirement plans without the usual 10% penalty for early distributions. The distributions may be repaid within three years and any resulting income inclusion can be taken over three years.
If you were over 70 ½ at Dec. 31, 2019 you won’t have to take required minimum distributions (RMD) in 2020. If your retirement assets have taken a hit, not having to take an RMD may allow those assets to recover some value before you liquidate them.

Student loans:

If you have a federally-held student loan, your payments will be suspended through Sept. 30, 2020 and interest won’t accrue during this period. Note that this relief does not apply to private student loans.

Other benefits:

Other benefits are available including expanded unemployment, emergency paid sick and family leave benefits (with some limitations and exceptions). Unemployment benefits are extended to self-employed and part-time workers.

Protecting our clients and our team

There are limitations on our physical work environment due to COVID-19; however, we’re working to minimize disruptions and impacts to you so that we can still offer the same level of superior service and support you have come to expect from our team.

We have implemented procedures to protect the health and safety of our staff, clients and community including restricting access to in person meetings, restricting travel, providing remote working solutions, enforcing the use of client portals for document transfer, adding virtual communication channels to stay connected, and implementing continuity plans. We continue to monitor the situation and adjust our procedures, as necessary.

Our commitment to you

Whether you have tax or accounting questions or need advice on ways to navigate the expanded benefits outlined above, we’re here for you. If you have any questions or concerns, please don’t hesitate to contact us at 980-434-2044 or email us at info@tanfs.com.

During this unpredictable and challenging time, it’s more important than ever to stay connected. We’re in this together and our thoughts go out to all that have been impacted by this unprecedented situation.

Rest assured, we’re here for you!

-Tee
Principal