Dr. Friday Tax Tips

Good news for small business owners! Dr. Friday explains the now-permanent 20% qualified business income deduction and who can benefit. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. Businesses get lots of tax breaks—most of them are maybe more permanent than others. Some are going to disappear. But one that we did like, that was made permanent, was the 20% qualified business income deduction for us self-employed independent contractors, S Corps, LLCs. This is where we get a percentage of the profits that we make kind of as a deduction on our return so we can reinvest that back into our businesses. It’s a great way for us to get a little bit of an incentive to be more profitable, to make more money, pay a little more taxes, and get a rebate. 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Selling online or using payment apps? Dr. Friday explains the latest IRS updates to 1099-K reporting and what income levels trigger the form. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. The 1099-K—we all know that’s been coming around. The last couple of years they kept threatening to do it if you made more than $5,000, and then $20,000, and then over $600 was going to be the current year. It was appealed to send 1099-Ks out to anyone that made over $600. That has been changed. It has to now be over 200 transactions or over $20,000 to get a 1099-K. That’s good news! Doesn’t mean you don’t need to report it, doesn’t mean it’s not important to have on your taxes—it just means you won’t have a report that you’re going to be giving us. 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN .

Planning to install solar panels or make energy-efficient upgrades? Dr. Friday warns that many clean energy tax breaks are set to expire by 2026. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. Many of the clean energy breaks that we had in 2021 are going to expire as of September 2025; many of them end on June 30, 2026. So if you are looking at doing something that may qualify under those particular tax brackets, you may want to first make sure it’s still in existence. And if not, then you may have to figure if there’s another way of doing it. Because right now, getting things under the Clean Energy Act isn’t probably going to be a very big tax advantage to you. That’s why you need to do tax planning now—to know what you can and can’t do. You should call us at 615. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Many people think not filing taxes only risks penalties—but it can also mean missing refunds. Dr. Friday explains why filing late could still help. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. I am Dr. Friday with Dr. Friday’s Tax and Financial Firm. I’m an enrolled agent licensed by the Internal Revenue Service, which really means all I do is taxes, right? So if you’re dealing with a tax issue, if you’ve got the IRS, or maybe you just haven’t filed taxes—you’d be amazed how many people come in and haven’t filed for like 20 years. And it doesn’t mean the IRS is even after them. They’ve left money on the table in many cases because we can only get refunds for three years. So by you not filing, sometimes you have reasons, sometimes it just becomes a habit. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Dr. Friday highlights a little-known opportunity for investors who hold qualified small business stock for five years or more—potentially eliminating capital gains tax. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. This is a moment I hear very rarely talked about—the qualified small business stock. It is an enhancement under the current rules: individuals who acquire qualified small business stock after September 27, 2010, and sell over five years later can deduct 100% of their capital gains from the sale. I mean, that seems pretty simple—up to, I think, $10 million, which won’t be a problem for most of us. This is a small break, and it’s something not a lot of people take advantage of. You have to be a C corporation, set it up properly, and move forward doing it right. Got questions? 367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Dr. Friday explains a new tax-advantaged savings program that helps parents build retirement savings for children born between 2024 and 2029. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. The OBB created a new tax-advantaged savings account. This is kind of interesting—many people may not have heard of it. This is accounting for young children. Up to $5,000 can be contributed to an account each year. The federal government will automatically put $1,000 for each child born after 2024 through 2029. Contributions are not tax deductible, but the fact is you’re starting to save for their retirement. We all know Social Security is a little questionable. Your little ones may need it extra and get $1,000 a year from the government to put into that account. 615-365-2500. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Big changes for education savings! Dr. Friday explains how families can now use more 529 funds tax-free for K–12 education starting in 2026. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. 529 plan—it’s a wonderful plan. It’s a great way for family to help others put their kids through kindergarten or first grade, second. Now it goes through K to 12, right? Normally, we could only take out $10,000. But now starting in 2026, you can use $20,000 per year tax-free for K–12. This is wonderful. This is a great way for people to get tax-free withholding and use it to pay for college as well, which is where it used to start out. So now you can use it all the way from kindergarten through college. Great way to help fund this thing. 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Adopting a child? Dr. Friday shares good news about the updated adoption credit—now refundable and easier to claim starting in 2025. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. There has been some helpful easing of the adoption credit. First, I’d like to thank anyone that’s ever adopted a child. I think that’s an awesome thing to do, and to be able to get some financial help from your taxes—another financial wonder. So beginning in 2025, up to a $5,000 credit, adjusted for inflation, is refundable when you’re dealing with an adoption. Sometimes we didn’t have that, right? Sometimes you could take off your expenses, you got reimbursed for them, it would roll over. This is pretty straightforward, and this way you get a little extra money to help put in your pockets and raise those perfect little babies. 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN

Starting in 2026, gamblers won’t be able to deduct all their losses. Dr. Friday breaks down what’s changing and who it affects. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. Bad news for gamblers. Starting in 2026, they can deduct only ninety percent of the losses against their taxable winnings. Right now, gamblers can report total winnings on Schedule 1 of the 1040 and deduct losses on Schedule A up to the amount of their winnings. So this is going to mean a higher tax for many people that are actually going to win—I don’t know, the Super Bowl or whatever you might gamble on. Just one of those things. So be sure that you’re tracking that information. A lot of times, the casinos will do a pretty good job of providing us the proper forms, but it is your responsibility to turn that in. If you have any questions, just check me out on the web. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

It’s the big day! Dr. Friday reminds everyone that today is the final deadline for 2024 taxes and any remaining payments, including estimates. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. And today is D-Day for taxes of 2024. This was our final time. You need to be sending in any payments that you owed for first, second, and third quarter of 2025—those estimates are due today. Whatever balance you may have had for 2024, those balances are due today. Otherwise, you’re looking at quite a bit more penalties, interest, and even for those that may have extended 941 payments or any other payments that were delayed, everything is due today, guys. So now is the time. Hit the button, file your taxes. 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN

Dr. Friday shares her love for Halloween while reminding everyone that November 3 is the final deadline for 2024 tax filings. Don’t miss it. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment and happy Halloween. I happen to be one of those people that love Halloween. Not only because I’m in a profession, which is very scary, but also because let’s be honest. Where else can you run around in a costume and scare people and be allowed to do that? Normally you can’t. And get out free candy. I mean both of those are win-win situations. But if you’re thinking about doing your taxes on this day, I would say probably wait till Monday—just because you know you don’t want to jinx anything. But if you haven’t filed your 2024 taxes, you only have a few days left. November 3 will be the deadline. And don’t be scared, that would be the time. If you wait till November 4, you’ve got huge penalties—failure to file, failure to pay, and all other failures that will happen. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Dr. Friday clears up myths about the IRS, from levies to collections, and explains how her firm helps clients deal with these challenges. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. I am Dr. Friday, an enrolled agent licensed with the Internal Revenue Service to do taxes and representation. I’ve been doing this for over 30 years here in the Brentwood area. And if you have questions—maybe you haven’t filed taxes, maybe you have a friend that just keeps getting these love letters, they’re concerned they’re gonna lose their house, they could take my car, they can whatever. There’s a lot of myths out there about what the IRS can do, but there’s also a lot of things the IRS can do. I had an employee that came in the other day, and a friend of theirs was getting their paycheck levied. It’s not something we can’t help with. In fact, it’s something we do every day. So if you’re having these kinds of problems, why don’t you just give us a call and set up an appointment? 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Starting in 2027, a new tax credit will reward donations to scholarship organizations. Dr. Friday explains how it works and who benefits. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. GOP lawmakers get their wish to expand school choice for K through 12 students. There’s a new income tax credit for donating to scholarship organizations, giving a non-refundable federal tax credit up to $1,700 to individuals who donate cash to qualified organizations providing scholarships to K–12 students. Additionally, scholarship recipients won’t be taxed on the funds. Note this is a credit, and a portion of it will be refundable. This is going to begin in 2027, so start thinking—how can you start helping the scholarships? 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Marriage, divorce, a new baby, or a new house? Dr. Friday explains how major life events can change your tax return and why planning matters. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. We’re always talking about taxes because that’s what I do, but also organizing your taxes. Again, we are between two years where if you haven’t filed your 2024, you still have time, and if you’re getting prepared to file your 2025. So it’s time to think—is there any kind of tax planning I should be looking at? Is there anything that’s happened new this year? I got married. I got divorced. I had a baby. I purchased a house. Is any of this going to have an effect on your tax return? If so, are you prepared to know? Because sometimes if you’ve gotten divorced in a year that you are claiming married on your W-2, many times you’re going to owe more money. So if you’ve got questions, just check us out on the web, drfriday.com. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Thinking about buying a new vehicle? Dr. Friday explains the new rules for deducting auto loan interest and who qualifies based on income. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. Auto loans can deduct up to ten thousand dollars of interest, but there’s always a but—it has to be new. It has to be a new car, minivan, SUV, pickup truck, or motorcycle after the year of 2024. And you need to have, again, limitations to income: $100,000 for individuals and $200,000 if filing joint. If your income is above that, you will not be able to qualify. If it’s under, you might be able to qualify. So maybe this is a good time to think—do I need a car now or within the next few months? Because if you don’t buy at the right time and the right car, you may not be able to deduct this interest, which normally we can’t. Check me out, drfriday.com. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Overtime income may be deductible under the new law. Dr. Friday explains the limits, eligibility, and key reporting rules. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. One of the other things we’re looking at is the $12,500 of overtime pay that is deductible. Again, this can only be what’s on the time and the half—the half that’s above. They’re not taking and including that in the $12,500. If you’re married and you both get overtime, $25,000. Again, you cannot exceed $150,000 if you’re single, $300,000 if you’re married. If you are self-employed, you’d have to have a W-2. I had someone ask me that earlier, and I’m like, that’s not gonna happen. You do have to make sure you’re following all the proper technologies that they’re allowing for us to deduct and calculate this. If you’ve got questions, just give my firm a call. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Dr. Friday highlights two new rules: an added deduction for seniors and new reporting requirements for qualified tips. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. There are a few things we want to go over. First, there’s a new senior deduction. I keep talking about it, but I want everyone to understand that’s $6,000 per person that’s 65 and older, deduction part of your standard deduction. Second would be up to $25,000. Qualified tips are deductible. Again, this has to be reportable. Your AGI cannot exceed over $300,000 if married, $150,000 if single. And it has to be something that has been reported on your income tax. It’s not something you can just say, “Oh yeah, I’m sure I collected $25,000.” It’s not gonna fly. Questions? 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

From 2025 through 2029, taxpayers can deduct more state and local taxes. Dr. Friday explains how this expansion could benefit you. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment, and this is a moment that I’m very excited about. 2025 through 2029, many of you know we had SALT that is on the Schedule A, where we were deducting our sales tax and our property taxes, and there was a limitation of $10,000. People from other states like California and New York, where their income tax was more than that, had a cap of $10,000. Now starting in 2025, we’re gonna have $40,000 available there. So more opportunities to be able to itemize fully your state withholding along with your property taxes for any state that you have. You can call us 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Worried about estate and gift taxes? Dr. Friday shares the good news: the lifetime exemption is now larger and permanent starting in 2026. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. The higher lifetime estate and gift extension is now permanent and bigger. I don’t know about a lot of you, but we were concerned when they started saying that it was going to be like a million or two million dollars, which I know sounds like a lot, but when you’re talking a lifetime, it isn’t as much. But it’s going to be $15 million starting in 2026, up from about $13.9 million that we had in 2025. And if you exceed that—if you’re fortunate enough to have an estate larger than that—then you will be paying a 40% gift tax on anything above that. But for most of us, let’s be honest, lifetime or not, we’ll have no worries. If you got questions, all you have to do is call us 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.

Dr. Friday explains the updated child tax credit for 2025, including how much you can claim, who qualifies, and what’s refundable. Transcript G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment. The child tax credit will be up to $2,200. That’s up from $2,000 that we had at the beginning of 2024 or in 2024. The refundable portion for people with lower income would be about $1,700 per child. The child does have to have a Social Security number. It cannot be a non-resident, it has to be a U.S. citizen. So if that helps you, I hope you’re going to be able to do that. I hope it does, because anytime we can put more money in our pocket, that’s what we want you to do. We want you to understand that that’s the way you’re going to keep your taxes in the right place. If you need help just doing your taxes, 615-367-0819. You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.