Breakaway Bulletin: $1B in unclaimed refunds


Quick hits

Stat of the Month: $1B in unclaimed refunds

If you don't file a return, you don't get a refund. The IRS estimates that 2021 unfiled 1040 returns / unclaimed tax refunds at $1B, available to be claimed by April 15.

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Tax Tip of the Month

Should I take a refund or roll it over for next year's estimated payments? Here are a couple of considerations:
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๐Ÿ‘‰ Cashflow tight? Take the refund.
๐Ÿ‘‰ Want the money for a dedicated purpose (e.g. investment or renovation)? Take the refund.
๐Ÿ‘‰ Trouble saving for taxes? Roll it over.

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Finance Tip of the Month

We talk ad nauseam around here about clean books being the foundation for good financial fitness. The foundation for clean books? A great chart of accounts. An organized chart of accounts:
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โœ… Is clear and organized around how you actually run your business.
โœ… Is bucketed into broad expense categories that align to your industry for easy benchmarking.
โœ… Breaks out revenue and expenses in a way that makes analysis easier.

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Essential Reads

Bye-Bye, Paper Checks.

For those of you who love the US mail and paper checks, the president has ordered the phasing out of non-electronic payment methods for federal agencies, including the IRS. There are, of course, some exceptions. Read more >โ€‹

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Don't rely on TikTok tax advice, folks.

The IRS has released its annual "Dirty Dozen" list of tax scams, from email phishing to fake charities.

Our favorite: "Social media platforms routinely circulate inaccurate or misleading tax information, including on TikTok where people share wildly inaccurate tax advice."

โ€‹Read more >โ€‹

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Reprise: Why "Extension" Isn't a Dirty Word During Tax Season

Taxes are exponentially more complex than they were when Congress established the April 15 deadline in 1955. Here's why extensions shouldn't put you into panic mode (and selfishly, they spread the work out and protect my amazing team from burnout). Read more >โ€‹

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Client Story of the Month

"Yesterday was a good day," wrote Chris Nebel, EA, one of our tax resolution specialists with a 30+ year career at the IRS behind him. "I was able to tell a client that her tax liability had been reduced by almost $88,000."

A good day indeed! We โค๏ธ helping our clients win!

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Who do you know that needs our services?

We're accepting new clients for...

โ€‹1. Proactive accounting, tax & advisoryโ€‹

โ€‹2. Tax resolutionโ€‹

โ€‹3. Forensic accounting and fraud investigationsโ€‹

Who do you know that needs our services? Refer them here or reply to this email.

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A Question for You

Q1 is gone and Q2 is hitting fast. What are your top priorities this quarter?

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Until next month,

Your Red Bike Advisors Team

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โ€‹About Red Bike Advisorsโ€‹

We're on a mission to equip small business owners with finance and tax insights that create exponential value for their companies, customers, employees, and families. From compliance to advisory, we take the confusion and scramble out of business finance and tax strategy and bring in clarity, growth, and peace of mind.

You are receiving this monthly update as a friend or client of Red Bike Advisors LLC. You may unsubscribe at any time.

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1650 Military Cutoff Rd. Suite 104, Wilmington, NC 28403
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