How teleworking is impacting your tax obligations during the COVID-19 pandemic

As the COVID-19 outbreak continues, many employers are continuing to encourage or require their employees to work from home (i.e., telework). Such remote working arrangements could potentially have tax implications that should be considered. State tax obligations for the employer When an employee works in more than one state, an employer may be obligated to withhold and remit income taxes …

Don’t Let Section 179 Recapture Hurt You

Okay, so you took the big Section 179 expensing deduction on your vehicle. How do you keep it? You might wonder: What do we mean by “keep it”? In tax law, there is no free lunch. The Section 179 deduction comes with “recapture strings” attached. This article explains the recapture strings and how you can avoid them. You will learn …

IRS Clarifies COVID-19 Relief Measures for Retirement Savers

The Coronavirus Aid, Relief, and Economic Security (CARES) Act passed in March 2020 ushered in several measures designed to help IRA and retirement plan account holders cope with financial fallout from the virus.  The rules were welcome relief to many people, but left questions about the details unanswered. In late June, the IRS released Notices 2020-50 and 2020-51, which shed …

A Note to our Community about COVID-19 (coronavirus)

To Our Valued Clients: As the coronavirus (COVID-19) continues to affect local communities and global economies, we want you to know that maintaining business continuity is a priority for us. We’re working to minimize disruptions and impacts to you so that we can still offer the same level of superior service and support you have come to expect from our …

The SECURE Act – Setting Every Community Up for Retirement Enhancement Act of 2019

As has become usual practice, Congress passed some meaningful tax legislation as it recessed for the holidays. In one of the new meaningful laws, enacted on December 20, you will find the Setting Every Community Up for Retirement Enhancement Act of 2019 (SECURE Act). The SECURE Act made many changes to how you save money for your retirement, how you …

Year-End Tax Planning With Your Stock Portfolio

With the volatility of the stock market this year, almost all of the 2018 gains have been lost in recent days. While that drop can make for unhappy investors, it creates some possibilities for tax planning before the end of the year. The beauty of tax planning your year-end stock portfolio is that it might cost you pennies in commissions …

2018 Last-Minute Year-End General Business Deductions

  Your year-end tax planning doesn’t have to be hard. Outlined below are five strategies that will increase your tax deductions or reduce your taxable income so that Uncle Sam gets less of your 2018 cash. Prepaying your 2019 expenses right now reduces your taxes this year, without question. While it’s true you kicked the can down the road some, …

IRS Clarifies Treatment of Business Meals

Hip, hip, hooray for the IRS! When last year’s tax reform eliminated the deduction for entertainment expenses, the wording of the new law left questions about whether the cost of meals with clients and prospects were still deductible. The IRS has now answered those questions. In Notice 2018-76, the IRS states that client and prospect business meals continue as tax …

Business Meals & Entertainment Deductions Change in 2018

Tax reform has had a significant impact on the tax deductions you can now claim for business entertainment and meals. The chart below shows you how the Tax Cuts and Jobs Act treats 12 common meal and/or entertainment events.   Amount Deductible for Tax Year 2018 Description 100% 50% Zero Meals with clients and prospects X* Entertainment with clients and prospects …

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Tax Reform is finally here – What does it mean?

President Trump signed the Tax Cuts and Jobs Act last week. This largest tax reform bill in 30 years lowers the individual and corporate tax rates, repeals a number of tax credits and deductions, enhances the child tax credit, repeals the individual penalty for not having health insurance, and more.  Most of the changes made to individual taxes are temporary, …