Category Archive: Tax

Closeup,Of,Form,1099-k,,Payment,Card,And,Third,Party,Network

This Thanksgiving, let us give Thanks to the IRS for Form 1099-K Changes announced on Nov 21, 2023

Yesterday, we informed you about the American Rescue Plan of 2021, dramatically reducing the Form 1099-K reporting threshold to gross payments that exceed $600 (down from $20,000 for tax year 2022 and prior years) for ...

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Offset Nursing Home Costs with Possible Tax Breaks

Abstract:   When a parent enters a nursing home, taxes are probably the last thing on anyone’s mind. But it’s important to know that several tax breaks may be available to help offset some of the ...

Form,3800,General,Business,Credit

Make The Most of The General Business Credit

Abstract:   Tax credits are far more valuable than tax deductions. Unlike a deduction, which reduces a business’s taxable income, a credit reduces the business’s tax liability dollar for dollar. Tax credits aren’t unlimited, however. For ...

Hand,Putting,Coins,In,Glass,Jar,With,Donate,Word,Written

Private Foundations vs. Donor-Advised Funds

Abstract: Private foundations can be highly effective for people who want to leave a charitable legacy, but they’re expensive to set up and operate. Donor-advised funds are popular alternatives, but they also have potential drawbacks. ...

The,Young,Man,Used,Both,Of,His,Hands,To,Protect

Shield Life Insurance Proceeds from Estate Tax with an ILIT

Abstract:   Life insurance can provide peace of mind, but if your estate will be large enough that estate taxes will be a concern, it’s important to not own the policy at death. The policy’s proceeds ...

Tax,Deduction,Planning,Concept.,Expenses,,Account,,Vat,,Income,Tax,,And

Planning for Net Investment Income Taxes

Abstract:   Individual taxpayers are potentially liable for the net investment income tax (NIIT) if their modified adjusted gross income (MAGI) exceeds $200,000 ($250,000 for joint filers and qualifying widows or widowers; $125,000 for married taxpayers ...

Businessman,Walking,Towards,His,Ambition

Planning an Exit Strategy for Your Business

Abstract:   Every business owner should have an exit strategy that helps recoup the maximum amount for his or her investment. Understanding the tax implications of a business sale will help the owner plan for — ...

Auto,Mechanic,Working,On,Car,Broken,Engine,In,Mechanics,Service

Is It A Repair or An Improvement?

Abstract:   For business owners, determining whether they’re making repairs or improvements can be tricky — but it’s important to be aware that the distinction can have real tax consequences. This article discusses IRS regulations that ...

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Can You Deduct 2024 Bonuses This Year?

Abstract:   Businesses may be familiar with the rule that permits them to deduct employee bonuses this year if they pay them to employees within 2½ months after the end of the tax year. It’s an ...

ERC_ClaimsUpdate

Employee Retention Credit Claims Update

On September 14th the IRS announced an immediate moratorium through the end of the year on the processing of new Employee Retention Credit (ERC) Claims. This action was taken in response to growing concerns inside the ...

Employee Retention Tax Credit

Do you know the signs of an Employee Retention Credit Scam?

The IRS has identified Employee Retention Credit Scams as the number one worst tax scam on its 2023 Dirty Dozen List.   Third parties, commonly known as “ERC Mills” have been aggressively promoting and promising large ...

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Option to Treat Employer Contributions as Roth Contributions Under SECURE 2.0

Of the many provisions within the SECURE 2.0 Act, there is one that plan sponsors may want to pay particular attention to: the option to allow employees to elect to treat employer contributions as Roth ...