As a small business owner, this is the time to take a closer look at your profit and loss sheets to determine how you can make the most out of this current economy. In the U.S., the economy is thriving and expected to grow over the next few months. Businesses are expanding. The Federal Reserve […]
Because individuals are always looking for tax deductions that can reduce their tax liability it’s important to know what the actual tax benefit is derived from a tax deduction. There is no straightforward answer because some deductions are above the line, others must be itemized, some must exceed a threshold amount before being deductible, and […]
Adjustments to Withholding or Estimated Payments for 2018 Should Be Made Sooner Rather than Later As a result of tax reform, most taxpayers will be paying less tax for 2018 than they did in 2017. But that may not translate into a larger refund. Your refund is the amount that your pre-payments (withheld income tax, […]
One of the most bone-chilling situations an American taxpayer can experience is receiving notification from the Internal Revenue Service that there’s some kind of problem. Just receiving an envelope with a return address from the IRS can strike fear. There are many different reasons that the IRS might reach out, but some are more common […]
Unlike a C corporation, which itself pays the tax on its taxable income, an S corporation does not directly pay taxes on its income; instead, its income, losses, deductions, and credits are distributed across its shareholders’ individual tax returns on a pro rata basis. These distributions are not subject to self-employment (Social Security and Medicare) […]
There are many ways to save money for your retirement or children’s future education such as investing in the stock market, buying real estate for income and appreciation or simply putting money away in education savings accounts or retirement plans. Keeping in mind how these various savings vehicles are taxed is important for choosing the […]
The Tax Cuts and Jobs Act has left many of today’s businesses with big questions. Incorporation remains a hot topic, but this law is shaking things up. It’s quick to assume your company should be one or the other, but without careful consideration of the facts, your organization may end up facing financial loss, hefty tax penalties […]
Another Round of Tax Changes Under Consideration The dust has not yet settled from the Tax Cuts and Jobs Act (TCJA), passed into law in December 2017, and the House Ways and Means Committee is already considering another round of tax changes. The committee chair, Kevin Brady, Republican from Texas, wants to include input from […]
In the past, the business use of a vehicle was determined either by using the standard mileage rate for business or using actual expenses plus vehicle depreciation limited by the luxury auto caps. That continues to be the case, except the luxury auto depreciation limit has been substantially increased. In addition, there are other changes […]
Taxes are similar to vehicles – they sometimes need a check-up to make sure they are performing as expected. With all of the changes brought about by tax reform this is especially true for 2018.
