New tax legislation has brought greater certainty to year-end planning, but has also created new challenges. The number of changes made to the Tax Code and the opportunities these changes bring may seem overwhelming. However, early planning will help you to maximize your potential tax savings and minimize your tax liability. (more…)
The IRS makes a distinction between what may be deducted by an active business and what may be deducted by an investor, and clearly favors the former. Nevertheless, you may still be pleasantly surprised by the items that may be legitimately deducted in connection with investments. (more…)
In recent years, end of year tax planning for businesses has been further complicated by uncertainty over the future availability of many tax incentives. The 2013 year-end is no different. In the early hours of January 1, 2013, the Senate passed the American Taxpayer Relief Act of 2012, which permanently extended the so-called Bush-era tax cuts. However, other popular provisions were only extended through 2013. Therefore, 2013 tax strategies include concerns over expiring provisions. But 2013 is also unique due to changes that are affecting businesses. (more…)
The IRS distinguishes between dues paid to clubs, which often are not deductible, and dues paid to professional organizations, which are often deductible.
Generally, you cannot deduct dues paid to social, athletic, sporting, airline, hotel, and luncheon clubs. The IRS generally views these organizations as providers of entertainment for their members. (more…)
2012 began with great uncertainty over federal tax policy and now, with the end of the year approaching, that uncertainty appears to be far from any long-term resolution. A host of reduced tax rates, credits, deductions, and other incentives (collectively called the “Bush-era” tax cuts) are scheduled to expire after December 31, 2012. To further complicate planning, over 50 tax extenders are up for renewal, either having expired at the end of 2011 or scheduled to expire after 2012. At the same time, the federal government will be under sequestration, which imposes across-the-board spending cuts after 2012. The combination of all these events has many referring to 2013 as “taxmeggedon.” (more…)
In recent years, end-of-the-year tax planning for businesses has been complicated by uncertainty over the future availability of many tax incentives. This year is no different. In 2010, Congress extended many business tax incentives for one or two years. Now, those incentives have expired or are scheduled to expire. Whether they will be extended beyond 2012 is unclear as Congress debates the fate the Bush-era tax cuts and across-the-board spending cuts scheduled to take effect in 2013. In the meantime, you need to be aware of the expiring provisions and explore developing a multiyear tax strategy that takes into account various scenarios for the future of these incentives. (more…)
Are you harvesting your tax losses? You should be. There’s not much that’s more disappointing than leaving tax losses on the table unnecessarily. With this article, we’ll help you harvest those losses. (more…)
Do you have children? Are they on your payroll? If they’re not, and if the situation is right, you may want to hurry and get your children on the payroll. Do you give money to your parents or other relatives? If so, keep reading. (more…)
Do you need a new or replacement vehicle? To achieve any purchase benefit from a vehicle this year, you need (before midnight on December 31) to both own the vehicle, and have placed the vehicle in service for your business.
Ready to take the plunge? Here are how tax matters are handled for the various vehicles you may be looking at. (more…)
Your retirement plans and IRAs may be among the largest, if not the largest, asset that you have. Understanding the basic tax rules and then planning your distributions to meet your personal financial and estate planning objectives is essential. We can explain those rules and provide some strategies for you to consider as part of your overall tax plan. (more…)