- Ledger Lowdown
- Posts
- The new baby tax hack
The new baby tax hack
just added the borders
I share the 4-5 most important accounting that actually matter. I scroll so you don’t have to.
So grab your coffee, take a quick break, and lets catch up.
Today’s Ledger:
The new baby tax hack.
The IRS got a longer leash.
Prime Day ate the calendar.
WTF of the Day🤯
Accountants Are Sleeping On Trump Accounts
Most accountants are treating Trump accounts like another tax form. That is the wrong way to look at it. These accounts could become a real wealth-building tool for families with kids. Children born from 2025 through 2028 can get a $1,000 government deposit. Parents can add up to $5,000 a year. And a business can put in up to $2,500 for an employee’s child, deduct it, and keep it out of the employee’s current income.
But here is where it gets messy. Every dollar has to be tracked for years. Parent money, employer money, government money, and investment gains can all be taxed differently later. If a family loses track, they could pay tax twice on money that was already taxed once. That is the opening for smart firms. Set up the account, track the money every year, pair it with the 529, and plan the Roth move when the kid turns 18. That is not just tax prep. That is a client relationship that can last two decades.
What’s poppin in accounting🍿
The IRS Just Got A Very Long Memory
The Supreme Court just let the IRS keep chasing a taxpayer over returns filed in the 1990s. The case is Murrin v. Commissioner. Stephanie Murrin said the normal three-year deadline had long passed. The IRS said the deadline never started because her tax preparer put fake deductions on the returns and meant to evade tax. The government did not have to prove Murrin herself committed fraud. That is the scary part.
The bill is not small either. Murrin says she is facing more than $328,000 in tax, penalties, and interest, with interest alone growing past $250,000 before the IRS sent the notice. The Third Circuit sided with the IRS, and the Supreme Court refused to take the case. That does not mean every taxpayer loses this fight everywhere. But it does mean one thing very clearly: if your preparer commits fraud on your return, clean hands may not be enough to save you decades later.
Weekly Trend Chart 📊
Prime Day Is Turning Into Prime Week
Amazon invented a shopping holiday, gave it a weird name, and somehow trained half the country to care. Prime Day is back, except it is not really a day anymore. This year, it is a four-day sale that showed up early, moved into late June, and brought the usual flood of deal lists, impulse buys, and “do I actually need this?” math.
The wild part is how many people are already inside the machine. Consumer Intelligence Research Partners says 201 million people in the U.S. used Amazon Prime at the end of 2025, up 4% from the year before. That means about 59% of all Americans use Prime. Among adults, it is closer to 75%. That is not a subscription anymore. That is plumbing. And if Amazon is close to running out of new people to convert, the next game is simple: get the people already inside to buy one more thing.
Meme of the Day😂
😂 we kinda do that