VT Tax & Finance Blog

Meet the Associate: Donna London

Jan 06, 2022
Donna London is a Senior accountant and has been with Davis and Hodgdon CPAs for 3 years. She is a member of the tax team, as well as the Convergent accounting team. Donna has a Bachelor’s degree in Business Management from Champlain College, with a focus on accounting. She also has an Associate’s degree in business management from the Community College of Vermont, as well as an accounting certificate from Champlain College.

Vermont Business Owners: Participate in the 2022 Annual Business Economic Survey

Jan 05, 2022
In an effort to better understand Vermont small- to medium-sized business owners' perception of the business climate, Davis & Hodgdon Associates CPAs has once again partnered with the Vermont Chamber of…

IRS Mailing Letters in January to Recipients of the Advance Child Tax Credit

Jan 03, 2022
If you received advance child tax credit payments in 2021 you will receive Letter 6419 in the mail from the IRS this month, January 2022. It’s essential that you give this letter to your tax preparer when filing your 2021 return. The letter will include the total amount of advance payments you received in 2021 and your accountant may need to refer to this notice to claim the remaining child tax credit amount.

10 of the most common self-employment tax deductions for 2021

Dec 27, 2021
From long hours to variable income, self-employment can be a tough way to make a living. Having to report your own business income and expenses adds another layer of complication. Understanding the basics of what expenses you can deduct is important whether you decide to file a return on your own or hire an advisor to help guide you through it.

Meet the Associate: Jackie Winkler

Dec 09, 2021
Jackie is an Associate Wealth Advisor with Copper Leaf Financial, LLC. She is a graduate of St. Michael's College, where she majored in Business Administration with a minor in Economics and Political Science. She has several years of client service experience that includes working in operations support at VSECU, as well as a Pharmacy Technician at Kinney Drugs.

It’s time to review your year-end tax plans

Dec 09, 2021
It’s time to review your year-end tax plans, now that we think individual federal income tax rates aren’t going up next year, except possibly for taxpayers with modified adjusted gross incomes over $10 million

New Higher Estate And Gift Tax Limits For 2022

Nov 29, 2021
The official estate and gift tax exemption climbs to $12.06 million per individual for 2022 deaths, up from $11.7 million in 2021, according to new Internal Revenue Service inflation-adjusted numbers. And the gift tax annual exclusion amount jumps to $16,000 for 2022, up from $15,000 where it’s been stuck since 2018.

How to Balance Saving for Retirement and Your Kids’ Education

Nov 04, 2021
Setting aside adequate funding for the future is a long, hard slog. Particularly for younger families who are early- to mid-career and have a lot of competing financial items to cover. Between raising young kids, paying mortgage or rent, and the countless other items that come with daily living, it can be stressful and difficult to see how everything is ever going to come together.

Copper Leaf Financial’s Guide to Charitable Giving and New Fillable Worksheet are Now Available Online

Oct 27, 2021
Copper Leaf Financial, our affiliated and separately registered financial planning firm has published a workbook “Guide to Creating Your Charitable Giving Statement” which was created to act as a guide for their clients. The guide is used to assist them with organizing their charitable giving efforts and creating a plan for the future – a plan that includes intentional giving and consideration of strategies that are tax advantageous. Many of our clients are passionate and deeply generous donors, however most had taken a disorganized approach to their charitable giving efforts.

How to Lower Your 2021 Tax Bill

Oct 26, 2021
Financial decisions you make between now and the end of the year can have a significant effect on how much tax you have to pay next April. This is particularly true if you're saving for retirement, itemize deductions, or hold investments outside a retirement account.

6 Year-End Tax Planning Moves For Small Business Owners

Oct 21, 2021
For business owners, tax planning shouldn't be a once-per-year exercise when filing your taxes. With extensions, you may be able to delay filing your 2021 taxes until late 2022. However, many tax planning moves that can help lower your total taxes owed may need to be made before the end of the current year.

Meet the Associate: Lori Pavich

Oct 13, 2021
Lori is a Remote Staff Accountant for the firm’s Client Accounting Services division, and she has been with Davis & Hodgdon for almost four years! She has a love of science and received a Bachelor of Science in Biology with an emphasis in Zoology and a minor in Chemistry from California State University Long Beach.

Business Owners: Now is a Good Time to Review Your Choice of Entity

Oct 05, 2021
As we approach the end of 2021 this is a good time to consider the appropriateness of your entity structure to ensure it aligns with your needs and evaluate the possibility of changing your structure.

Expanded tax benefits help individuals and businesses give to charity during 2021

Sep 28, 2021
The Taxpayer Certainty and Disaster Tax Relief Act of 2020, enacted last December, provides several provisions to help individuals and businesses who give to charity. The new law generally extends through the end of 2021 four temporary tax changes originally enacted by the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Here is a rundown of these changes.

Vermont Department of Taxes issues refunds to unemployment benefit recipients

Sep 17, 2021
The Vermont Department of Taxes has begun issuing refunds to eligible taxpayers who received unemployment insurance benefits last year and electronically filed their 2020 Vermont Individual Income Tax Returns prior to the federal unemployment tax exclusion passed earlier this year.

Tax Credits for Going Green

Sep 15, 2021
These three federal tax credits may help defray part of the cost to make your home more energy efficient or to purchase a new plug-in vehicle.

It’s time to take an Evidence-based Approach to Your Investments

Sep 09, 2021
An evidence-based approach to your investment portfolio has a special focus on understanding the investment best practices and body of knowledge defined by the last 50-plus years of academic and practitioner research. This research is ongoing and continues to guide those who apply evidence based investing.

What is the SECURE Act and What Does it Mean for You?

Sep 02, 2021
In 2019 the Setting Every Community Up for Retirement Enhancement (SECURE) Act was signed into law. The SECURE Act provides a mixed bag of incentives and obligations for retirement savers. Its intent is to make it easier for families to save more for retirement. Here is an overview of the most significant features of the law as it may pertain to you.

Recent Stimulus Payment Letters from White House Can Be Misunderstood

Aug 30, 2021
You may have received a letter from The White House recently that addresses the American Rescue Plan payments. The letter may provide a total amount of direct payments that were direct deposited to your…

Creating A Charitable Legacy

Aug 26, 2021
Some may feel uncomfortable about leaving their charitable mission in another’s hands, but it also might not be practical or optimal to donate all the dollars you wish within your lifetime.