Essential Cheques & Balances LLC

Gone are the days of receiving a refund from the IRS with a paper check. Beginning 9/30/25 the IRS will begin to phase out paying refunds by paper check, starting with individual taxpayers. Other alternative refund methods besides direct debit, will include a prepaid debit card, or digital wallet.

And if you haven't already filed your taxes, the deadline for Estate and Trust returns is tomorrow 9/30/25. Individual returns are due Tuesday October 15.

Many of you have heard of the One Big Beautiful Bill and the many tax cuts it delivers. I just want to briefly touch on only a couple of items, which are overtime and tips. There are several limitations and phaseouts involved but I won’t go into all of them. I want to be lightly informative, not put you to sleep.

Some main things to know are:
1. These two items are temporary. They will begin retroactively from January 1, 2025 and will go through 2028 (unless Congress decides to extend the date).
2. They are both still subject to payroll taxes (withholding, Social Security, and Medicare). This income will not be taxed on your Federal tax return.
3. Overtime is capped at $12,500 for Single filers and $25,000 for Married Filing Jointly.
4. Tips are capped at $25,000

For more detailed information click on this link -

One Big Beautiful Bill Act of 2025 provisions | Internal Revenue Service The One Big Beautiful Bill Act has a significant effect on your taxes, credits and deductions.

If you are an early bird filer, the IRS has just announced that electronic filing will begin on January 27th.

A few months ago, I posted a comment that stated “82% of small businesses fail due to not understanding cash flow”. So just exactly what is cash flow? You might be thinking, well duh…it’s the movement of money. While that is the basic principle, there is more than knowing money comes in and money goes out. Understanding cash flow is to know how funds coming in affect the profit and loss statement or the balance sheet. Are the funds from sales of services or products, interest income, sale of assets, or refunds? All of these are to be recorded in the books in a different manner. And the same goes for expenses. Not all expenditures are treated the same.
When you compile all this information properly, it’s like piecing a puzzle together. In the end, you will have a complete picture of what your cash flow looks like. From this, you will be able to make a more informed decision regarding your business.

With the new tax season upon us, it's time to think about putting your business finances in order. Please allow me to assist you in getting caught up so that you are confidently prepared to submit everything to your CPA.

Have you ever thought about a new year's resolution for your business? If so, I would love to hear your thoughts.

If you still haven't filed your BOI with FinCEN, you're in luck, because a temporary injunction has been ordered. Until the court rules whether it is unconstitutional or not, business owners do not have to register their businesses at this point. If you would like to read more about it, click on this link: https://news.bloomberglaw.com/daily-labor-report/corporate-transparency-act-blocked-nationwide-by-texas-court

If you would like to read even further into this, click on the blue link (Texas Top Cop Shop, Inc. v. Garland) within the article above.

Corporate Transparency Act Blocked Nationwide by Texas Court The Corporate Transparency Act and its implementing regulations, which require US business entities to report stakeholder information to the Treasury Department, were preliminarily blocked nationwide by a Texas federal court on Tuesday.