Mike Ruiz Murillo – Bregante+Company LLP

The IRS Standard Mileage Rate Increases Continue in 2023

With gas prices reaching record highs during 2022, the IRS adjusted mileage rates to provide some relief for miles driven for the following purposes: business, medical, and/or charity.

At the launch of 2023, the IRS increased the standard mileage rates as follows:

Business miles – From 62.5 cents per mile (effective 7/1/22) to 65.5 cents per business mile driven.

The following to note, but remains unchanged from the IRS update made effective 7/1/22:

Medical – 22 cents per mile driven for medical or moving purposes (moving purposes only for qualified active-duty members of the Armed Forces)
Charitable – 14 cents per mile driven in service of charitable organizations

- Reminders to our clients:
  - There is always the option of calculating actual costs rather than using the standard mileage rates.
  - Leased […]

By Mike Ruiz Murillo|January 11th, 2023|Categories: Announcements, Business Operations, IRS|Comments Off

401(k) Contribution Limits Increase to $22,500 for 2023, and IRA Limit Rises to $6,500

The IRS is raising the bar on retirement savings by increasing the annual contribution limits to 401(k), 403(b), most 457 plans, and the federal government’s Thrift Savings Plan. To the plans just mentioned, participants can look forward to a $22,500 contribution limit for the 2023 tax year, which increased from the previous $20,500 limit (2022 tax year). Also in 2023, IRA contributions will increase to $6,500, from $6,000 (2022 tax year).

- Catch-up contributions towards 401(k), 403(b), most 457 plans, and the federal government’s Thrift Savings Plan increase to $7,500, up from $6,500 in 2022.
- SIMPLE plans increase to $3,500, up from $3,000 in 2022.

For additional detail on allowed contributions to all retirement plans, please refer to the following IRS press release here.

By Mike Ruiz Murillo|November 9th, 2022|Categories: IRS, Retirement Planning|Comments Off

Inflation Reduction Act of 2022: Clean Vehicle Energy Credit

With the recent passing of the Inflation Reduction Act, you can reap the benefit of a $7,500 tax credit on purchasing a new electric vehicle. The new law also includes guidance on purchasing used electric vehicles, which are eligible for a credit for the lesser of $4,000 or 30% of the sales price. To qualify for this credit, there are adjusted gross income limitations as below.

Single – $150,000

Married filing joint – $300,000

Head of household – $225,000

To be eligible under the Inflation Reduction Act, the qualifying vehicle must be purchased after August 16, 2022. Visit this link to see if your new vehicle is eligible – https://afdc.energy.gov/laws/inflation-reduction-act. If you were in a binding contract to purchase a qualifying clean vehicle and did not take possession of the vehicle until after […]

By Mike Ruiz Murillo|October 4th, 2022|Categories: BCo Community News, Individual Tax, IRS|Comments Off

Accounting, Taxation & Business Strategy

Building Service Partnerships Since 1976

About Mike Ruiz Murillo

The IRS Standard Mileage Rate Increases Continue in 2023

401(k) Contribution Limits Increase to $22,500 for 2023, and IRA Limit Rises to $6,500

Inflation Reduction Act of 2022: Clean Vehicle Energy Credit

MikeRuizMurillo

About Mike Ruiz Murillo

The IRS Standard Mileage Rate Increases Continue in 2023

401(k) Contribution Limits Increase to $22,500 for 2023, and IRA Limit Rises to $6,500

Inflation Reduction Act of 2022: Clean Vehicle Energy Credit